LAKE COUNTY FLORIDA · All Nonmajor Funds 104 Major Funds: ... charged within the county limited to...

LAKE COUNTY

FLORIDA Comprehensive Annual Financial Report Fiscal Year Ended September 30, 2002

This page intentionally left blank.

LAKE COUNTY, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT For the Year Ended September 30, 2002 FINANCE DEPARTMENT James C. Watkins Barbara F. Lehman, CPA Clerk of the Circuit Court Chief Deputy Clerk County Finance Department

Kristy L. Mullane, CPA Accounting Director

County Finance Department

iii

PRINCIPAL OFFICIALS

LAKE COUNTY, FLORIDA BOARD OF COUNTY COMMISSIONERS Jennifer Hill .................................................................................................... District 1 Robert A. Pool, Chairman .............................................................................. District 2 Debbie Stivender ........................................................................................... District 3 Catherine C. Hanson ..................................................................................... District 4 Welton G. Cadwell, Vice Chairman...................................................... . . . . . District 5 ELECTED COUNTY OFFICIALS James C. Watkins ................................................................. Clerk of the Circuit Court Ed Havill......................................................................................... Property Appraiser George E. Knupp, Jr. .........................................................................................Sheriff Emogene W. Stegall ................................................................Supervisor of Elections Bob McKee ............................................................................................. Tax Collector APPOINTED COUNTY OFFICIALS William A. Neron ................................................................................County Manager Sanford A. Minkoff ............................................................................. County Attorney AUDITORS Ernst & Young LLP

ORGANIZATIONAL CHART

LAKE COUNTY, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2002 TABLE OF CONTENTS Page

vii

I. INTRODUCTORY SECTION Principal Officials iii Organizational Chart vi Table of Contents vii Letters of Transmittal 3 Certificate of Achievement 14 II. FINANCIAL SECTION Report of Independent Certified Public Accountants 15 Management’s Discussion and Analysis 19 Basic Financial Statements: Government-wide Financial Statements: Statement of Net Assets 33 Statement of Activities 34 Fund Financial Statements: Balance Sheet - Governmental Funds 36 Reconciliation of the Balance Sheet - Governmental Funds to the Statement of Net Assets 39 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds 40 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds to the Statement of Activities 43 Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual - General Fund 44


viii

II. FINANCIAL SECTION (Continued)

Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual - Major Special Revenue Fund - Road Impact Fees 46 Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual - Major Special Revenue Fund - County Sales Tax 47 Statement of Net Assets - Proprietary Funds 48 Statement of Revenues, Expenses, and Changes in Fund Net Assets - Proprietary Funds 49 Statement of Cash Flows - Proprietary Funds 50 Statement of Fiduciary Assets and Liabilities - Fiduciary Funds 52 Notes to Financial Statements 53 Combining and Individual Fund Statements and Schedules: Combining Balance Sheet - Nonmajor Governmental Funds 88 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds 96 Schedules of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual: Nonmajor Funds: All Nonmajor Funds 104 Major Funds: Sales Tax Capital Projects 135 Combining Statement of Net Assets - Internal Service Funds 138 Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets - Internal Service Funds 140 Combining Statement of Cash Flows - Internal Service Funds 142 Combining Statement of Fiduciary Assets and Liabilities 146


ix

III. STATISTICAL SECTION

Government-wide information: Government-wide Expenses by Function 155 Government-wide Revenues 155 Fund information: General Governmental Expenditures by Function 156 General Governmental Revenues by Source 158 Property Tax Levies and Collections 160 Top Ten Taxpayers 161 Assessed and Estimated Actual Value of Taxable Property 162 Property Tax Rates - Direct and Overlapping Governments 164 Property Tax Rates - All Overlapping Governments 166 Revenue Bond Coverage 168 Sales Tax Revenue Bond Compliance - Sales and Use 169 Tax Revenues Demographic Statistics 170 Lake County Construction 172 Property Value, Construction and Bank Deposits 174 Special Assessment Collections 175 Miscellaneous Statistical Data 176


x

IV. SINGLE AUDIT

Schedule of Expenditures of Federal Awards and State Financial Assistance 180 Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance 184 Report of Independent Certified Public Accountants on Compliance and Internal Control over Compliance with Requirements Applicable to each Major Federal Awards Program and State Financial Assistance Project 185 Schedule of Findings and Questioned Costs 187 Summary Schedule of Prior Audit Findings 189

V. OTHER REPORTS Report of Independent Certified Public Accountants on Compliance and Internal Control Based on an Audit Performed in Accordance with Government Auditing Standards 191 Management Letter 193 Independent Certified Public Accountants Required Disclosure in Accordance with Government Auditing Standards 197

LETTERS OF TRANSMITTAL

6

Federal Single Audit Acts. The standards governing single audit engagements require the independent auditor to report on the government’s internal controls and compliance with legal requirements with special emphasis on the administration of federal and state awards. Information related to the single audit, including schedules of federal and state financial assistance and the independent auditor’s reports thereon are included in this report. GAAP require that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. Lake County’s MD&A can be found immediately following the report of the independent certified public accountants. Profile of Lake County Lake County is located in the center of the state approximately 65 miles from the east and west coasts at the northwestern edge of central Florida. The County was created in June, 1887, by the Florida legislature and encompasses 954 square miles of land and over 200 square miles of lakes. The current estimated population is 220,323. There are fourteen municipalities located within the County including: Astatula, Clermont, Eustis, Fruitland Park, Groveland, Howey-in-the-Hills, Lady Lake, Leesburg, Mascotte, Minneola, Montverde, Mount Dora, Tavares and Umatilla. The County is a political subdivision of the State of Florida pursuant to Article VIII, Section (1), Constitution of the State of Florida. The Board of County Commissioners (the Board) is the principal legislative and governing body of the County, as provided by the Florida Constitution and Chapter 125, Florida Statutes. The Board consists of five members elected by district for staggered terms, with a chairman elected by the commissioners for a one-year term to serve as the presiding officer. In addition to the Board, there are five elected Constitutional Officers serving four year terms: the Tax Collector, Property Appraiser, Clerk of the Circuit Court (Clerk), Sheriff and Supervisor of Elections. The County provides a full range of services contemplated by statute and ordinance, including general governmental services, public safety, physical environment, transportation, economic environment, human services, culture and recreation and court-related services. The chief administrative official of the County is the County Manager. The County Manager is hired by the Board and is responsible to them for the administration and operation of all Board departments and the execution of all Board policies. The County Manager is also responsible to the Board for the preparation of the annual budget and for the control of Board expenditures during the year.

7

The annual budget serves as the foundation of the County’s planning and control of revenues and expenditures. The Board funds a portion, or in certain instances all, of the operating budgets of the County’s Constitutional Officers. Constitutional Officers, except the Tax Collector, are required to submit their budget requests to the Board by June 1. The Tax Collector must submit his budget to the State of Florida Department of Revenue by July 1. A tentative proposed budget is presented to the Board in mid-July. The budget is adopted after two advertised public hearings held in September. At the end of the fiscal year, Florida Statutes require that any budget excess of the constitutional officers be paid over to the Board. The budget is prepared by fund, department, and object code. After the budget is adopted, no transfers can be made between funds without a public hearing. Certain transfers within a department may be approved by the County Manager or by the Board, depending on the dollar amount. Budget to actual comparisons are provided in this report for each individual governmental fund for which an appropriated annual budget is adopted. For the general fund, this comparison is on page 44 as part of the basic financial statements for governmental funds. For other governmental funds, the comparison for each fund for which a budget has been adopted is presented on pages 46, 47 and 104 to 135. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which Lake County operates. Local Economy. Lake County currently enjoys a favorable economic environment and local indicators point to continued stability. The County’s location in the central part of the state and its proximity to the Florida Turnpike and Interstate 75 have made it an attractive location for large distributors such as Marriott Distribution Services, Domino’s Pizza, Circuit City, Sprint North Supply and Goodyear Tire and Rubber Company. These companies are located in the Christopher C. Ford Commerce Park developed by the County. The park is located at the intersection of U. S. 27 and Florida’s Turnpike. Lake County has enacted the Job Growth Investment Trust Fund, which awards a qualified company up to $4,000 for each new job created at a salary of 115% of the County’s average annual wage. The County also offers a deferral plan for the payment of transportation impact fees for qualified projects. The County’s labor force stands at over 95,000 with County unemployment at 4.8%. Both Florida and the National unemployment rates are higher at 5.4% and 6.0%, respectively. Educational institutions in the area such as Lake-Sumter Community College and the University of Central Florida assist in supplying a skilled labor force.

8

The cost of living for the region is below the national average. There is no personal income tax, either locally or state-wide. Sales tax, currently at 6%, is not charged on food or medicine. There is a local additional one cent sales tax charged within the county limited to $50 per transaction (1% of $5,000). As discussed in the MD & A, this additional penny sales tax must be used for infrastructure including roads, buildings, land, land improvements and certain equipment. Overall, economic projections for 2003 point to continued growth. Long-term Financial Planning. As a part of the budget process, the County prepares a five year capital improvements plan in order to determine future needs and how those needs can be met. Some of the major projects (with estimated cost) include:

• Construction of a South Lake County Government Complex to house building services and environmental health for the Board, and for services provided by the constitutional officers ($2,000,000 land only)

• Renovation of the Fairgrounds and Expo Center including HVAC,

electrical upgrades and ADA compliant restrooms ($1,155,000)

• Construction of Citrus Ridge library in South Lake County to replace the currently leased facility ($3,200,000) and a replacement of Cooper Memorial Library with a larger facility ($5,500,000)

• Document Management and Retrieval System and completion of a

storage area network ($1,350,000)

• Purchase of financial accounting software ($1,850,000) Funding for these projects will come from infrastructure sales taxes for eligible projects or from general fund revenues. Grant funding will be requested where such funds are available. The County is also considering bonding some of the proceeds from the infrastructure sales tax levy which began January 1, 2003. The County adopts a biennial budget in addition to the five year capital improvements plan. Other long term issues that are of major concern to the County include:

• Funding for roads and transportation projects while faced with a decline in gas tax revenues that can be used to fund these projects. Fifty percent of the infrastructure sales tax levy mentioned above will be used for this purpose.

9

• Solid waste issues including the contract with Covanta for the operation of the incinerator. The County has sued the vendor over the contract. Settlement of the issue has been delayed due to the filing of bankruptcy by Covanta. Universal collection was implemented October 1, 2002 and approximately $1,400,000 of infrastructure sales tax will be used to pay solid waste debt in 2003.

• Funding of fire and emergency services. The Supreme Court made a

ruling in 2002 that limited the use of fire special assessments in the provision of assisted life support services. The County is currently determining the effect this ruling may have on the services provided by firefighters when responding to emergencies.

Cash Management Cash temporarily idle during the year was invested in an interest bearing demand account and in the Local Government Surplus Funds Trust Fund administered by the State Board of Administration (SBA). Cash management objectives are safety of capital and maintaining adequate liquidity to meet maturing obligations. The County’s investment policy outlines investment goals and objectives. An investment advisory team composed of County and Clerk staff reviews various investment options and makes investment recommendations to the Clerk. Over the last year and a half, the County has sought to diversify its portfolio and offset the decrease in short term rates by investing in treasury securities and certificates of deposit with maturities ranging from one to two years. The interest rates that will be earned on these investments range from 3.00% to 4.65%. In addition, the County also invests in the Florida Local Government Investment Trust (Trust). This Trust was organized in 1991 for the purpose of providing local governments with a pooled investment program that focuses on longer term securities with the highest credit ratings. The Trust earned 6.1% for the 12 months ending September 30, 2002. All of the County’s investments were recorded at fair value at year end in accordance with GAAP. Risk Management The County self-insures its general liability, workers’ compensation, and employee medical insurance which is accounted for in an internal service fund. Under this program, the Insurance Fund provides coverage for up to a maximum of $50,000 per occurrence for each general liability claim and workers’ compensation claim and up to $100,000 for each property claim. Medical claims

10

are covered by the fund up to $75,000. The County purchases commercial coverage for the excess. The Clerk also self-insures health benefits. Specific stop loss reinsurance has been obtained for all medical claims exceeding $50,000 per individual per year. Each participating fund of the Board and Clerk makes payments to the respective Insurance Funds based on actuarial estimates and historical data for amounts needed to pay prior and current year claims. The latest actuarial estimate, based on industry standards, relates to the year ended September 30, 2002. Pension and other post employment benefits Substantially all County employees participate in the Florida Retirement System, a multiple-employer cost sharing defined benefit retirement system administered by the Florida Department of Administration. The County's contribution to the System for Fiscal Year 2002 was $5,735,778. For additional information about the Florida Retirement System, the latest annual financial report for the system can be obtained by writing or calling the Division of Retirement, 2639 North Monroe Street, Building C, Tallahassee, Florida 32399-1560, 850-488-5706. In addition, the Board, Clerk and Supervisor of Elections provide post employment health care benefits under a plan established through Nationwide Retirement Solutions, Inc. (Nationwide). Each contributes 1% of annual salary for all employees with more than one year of service to a trust administered by Nationwide. Twenty- five percent of accrued sick pay for employees with less than 10 years of service and 50% for employees with ten years or more of service is paid into the trust upon termination, retirement or death. The maximum contribution is limited to 960 hours. Contributions are invested according to instructions given by the employee and earnings accumulate tax-free. Upon separation of service, the account can be used to reimburse qualified health insurance premiums paid by the employee. Awards and Acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to Lake County for its Comprehensive Annual Financial Report for the fiscal year ended September 30, 2001. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government financial reports. In order to be awarded a Certificate of Achievement, a governmental unit must publish an easily readable and efficiently organized comprehensive annual financial report whose contents conform to program standards. Such CAFR

CERTIFICATE OF ACHIEVEMENT

MANAGEMENT’S DISCUSSION AND ANALYSIS

19

Management’s Discussion and Analysis As management of Lake County, Florida, (County) we offer readers of the County’s financial statements this narrative overview and analysis of the financial activities of Lake County government for the fiscal year ended September 30, 2002. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in the letter of transmittal, which can be found at pages 5 to 11 of this report. Financial Highlights

• Lake County’s assets exceeded its liabilities at September 30, 2002 by $196,958,863 (net assets). Of this amount, $25,317,908 (unrestricted net assets) may be used to meet the County’s ongoing obligations to its citizens and creditors.

• The County’s total net assets increased $25,713,742 over the previous

year with $25,237,086 of the increase resulting from governmental activities and $476,656 resulting from business-type activity.

• At September 30, Lake County’s governmental fund statements report

combined ending fund balances of $89,423,410, an increase of $1,807,265 over the previous fiscal year. Of this amount, $63,799,997 remains in the various fund types of the County as unreserved.

• The General Fund, the County’s primary operating fund, reported an

unreserved fund balance of $22,393,419, and an increase in total fund balance over the last fiscal year of $425,012.

• Total bonded debt and loans decreased from the prior year by $6,010,000.

There were no new borrowings in 2002. The Sales Tax Revenue bonds which were originally issued in 1987 for $38,840,000 were paid in full on December 1, 2002.

Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to Lake County’s basic financial statements. The County’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. There is additional supplementary information following the financial statements that may be of interest to the reader.

20

Government-wide financial statements Government-wide financial statements are designed to provide the reader with a broad overview of the County’s financial position, in a manner similar to a private-sector business. They include a Statement of Net Assets and a Statement of Activities . These statements appear on pages 33 to 35 of the report. The Statement of Net Assets presents the County’s assets less its liabilities at year end. The difference between these assets and liabilities is reported as net assets. Changes in net assets over time may serve as a useful indicator of whether the financial position of the County is improving or deteriorating. The Statement of Activities presents information showing how the County’s net assets changed during the fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (for example, accounts payable and earned but unused vacation leave.) Both statements attempt to distinguish functions of the County that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activity). Governmental activities include general government, public safety, physical environment, transportation, economic environment, human services, culture and recreation, and court-related expenditures. Business-type activity includes a solid waste system, which uses an incinerator and landfills to dispose of solid waste. The government-wide financial statements can be found on pages 33 to 35 of this report. Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The County, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the County’s funds can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating the County’s near-term financing requirements.

21

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The County maintains 34 individual government funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the General Fund, Road Impact Fees and County Sales Tax Special Revenue Funds, and the Sales Tax Capital Projects Fund, all of which are considered to be major funds. Data from the other 30 governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. Each Constitutional Officer adopts an annual appropriated budget for its general fund. The general funds of the Board and Constitutional Officers are then combined and eliminations of intergovernmental receivables, payables and operating transfers are made. A budgetary comparison statement of this consolidated general fund has been provided to demonstrate compliance with the Countywide adopted budget. The basic governmental fund financial statements can be found on pages 36 to 47 of this report. Proprietary funds. The County maintains and presents two types of proprietary funds: enterprise and internal service, which can be found on pages 48 to 51 of this report. Enterprise funds are used to report the same functions presented as business-type activity in the government-wide financial statements. The County has one enterprise fund which is used to account for the activities of its solid waste management system. Internal service funds are an accounting tool used to accumulate and allocate costs internally among various functions. The County uses internal service funds to account for its fleet of vehicles, and for its self-insured health and general liability programs. Because both of these services predominately benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements.

22

Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The Landfill Enterprise Fund is considered to be a major fund of the County. Conversely, all internal service funds are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report. The basic proprietary fund financial statements can be found on pages 48 to 51 of this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the County’s own programs. The basic fiduciary fund financial statement can be found on page 52 of this report. Notes to financial statements. The notes provide additional information that is essential to a full understanding of the information provided in the government-wide and fund financial statements. The notes to the financial statements can be found on pages 53 to 82 of this report. Other information. The combining statements referred to earlier in connection with nonmajor governmental funds and internal service funds are presented immediately following the notes to the financial statements. Combining and individual fund statements and schedules can be found on pages 88 to 152 of this report. Government-wide Financial Analysis In accordance with accounting principles generally accepted in the United States, the County implemented the provisions of Governmental Accounting Standards Board Statement 34, “Basic Financial Statements-and Management’s Discussion and Analysis-for State and Local Governments” for the year ended September 30, 2002. As a result, the accompanying basic financial statements consolidates all of Lake County government’s financial activity into two columns, one for governmental activities and one for business activity. The major changes that are reflected in this consolidated presentation are:

• Depreciation for all capital assets including buildings, machinery and equipment and land improvements has been included in expenses.

23

• All infrastructure assets acquired or constructed during fiscal year 2002 have been included as capital assets and depreciated.

• The total liability for accrued benefits payable has been included as an expense.

Other reconciling differences between the government wide financial statements and the fund financial statements are described at page 39. We have restated the beginning balances at September 30, 2001 to reflect these changes. However, we have not prepared comparative financial statements for the prior fiscal year. Therefore, for the year of implementation, we are unable to make comparisons on a government-wide basis between fiscal years. A comparative analysis will be made in future years when prior year information is available. As noted earlier, net assets may serve over time as a useful indicator of the County’s financial position. In the case of Lake County, governmental activities net assets exceed liabilities by $191,166,705 at September 30, 2002. By far the largest portion of the County’s governmental activities net assets (54%) reflects its investment in capital assets (e.g., infrastructure, land, buildings, machinery, and equipment), less any related debt used to acquire those assets that is still outstanding. These capital assets are used to provide services to citizens; consequently, these are assets are not available for future spending. Although the investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.

LAKE COUNTY’S NET ASSETS

Governmental Business-Type

Activities Activity Total 2002 2002 2002 Current and other assets $ 109,460,853 $ 14,687,948 $124,148,801 Capital Assets 107,213,923 8,499,228 115,713,151 Total assets 216,674,776 23,187,176 239,861,952 Long-term liabilities outstanding 6,556,314 14,967,847 21,524,161 Other liabilities 18,951,757 2,427,171 21,378,928 Total liabilities 25,508,071 17,395,018 42,903,089 Net Assets: Invested in capital assets, net of related debt 102,630,953 3,693,211 106,324,164

Restricted 63,632,594 1,684,197 65,316,791 Unrestricted 24,903,158 414,750 25,317,908 Total net assets $ 191,166,705 $ 5,792,158 $196,958,863

24

An additional portion of the County’s governmental activities net assets (33%) represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted governmental activities net assets ($24,903,158) may be used to meet the County’s ongoing obligations to citizens and creditors. External restrictions may be imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments or imposed by law through constitutional provisions or enabling legislation. Enabling legislation may include ordinances passed by the County which requires that revenues collected be spent for particular purposes. Some examples of these restrictions include revenues from gas taxes, road impact fees, fire special assessments, infrastructure sales tax and ad valorem taxes collected for stormwater management. At the end of the current fiscal year, the County reported positive balances in all three categories of net assets, both for the government as a whole, as well as for its separate governmental and business-type activities. Restricted net assets in the Landfill Fund (Business-type Activity) consist of the amount invested in capital assets net of related debt (64%), amounts restricted for landfill closure and post closure care costs (26%) and amounts restricted for debt service (3%). Unrestricted net assets of $414,750 may be used to meet ongoing solid waste obligations. Governmental activities Governmental activities account for 97% of the County’s net assets. One of the major components of general revenue collected by governmental activities is property taxes. In 2002, property taxes were assessed at a millage rate of 5.117 mills for the general fund, the same rate as last year. Taxes collected, however, increased by $4,331,766 primarily due to an increase in assessed valuation of about 10%. Other taxes amounted to $30,383,214 and include infrastructure sales tax ($14,311,889), gas taxes ($5,692,284), fire taxes ($8,580,796), franchise taxes ($1,119,189) and other taxes ($679,056). Other variances in governmental activities include:

• The County received additional federal funding passed through the state for local road projects of about $1,500,000.

• The County received almost $800,000 from the Lake Apopka farm buyout.

These funds were earmarked to build community centers in several areas of the County.

25

• State sales tax increased about $800,000 over the prior year.

• Building permit revenue was down $1,700,000 due to the economic slowdown experienced by the County and by the nation as a whole.

• Public safety expenses increased approximately 8% for additional

firefighters, equipment and the opening of a new fire station.

• Stormwater management expenses were up about $666,000 for stormwater projects that were completed this year. These projects included road and drainage improvements in Astor and the Old Highway 441 stormwater outfall project. FY 2002 was the third year of collection of this tax which is scheduled to increase by .1 mill each year until reaching .5 mills.

The following is a summary of activity for 2002:

Governmental Business-type

Activities Activity Total Revenues: 2002 2002 2002 Program revenues: Charges for services $ 21,299,828 $ 13,909,786 $ 35,209,614 Operating grants and contributions 14,447,585 99,288 14,546,873 Capital grants and contributions 11,429,412 - 11,429,412 General revenues: Property taxes 47,277,830 - 47,277,830 Other taxes 30,383,214 315,578 30,698,792 Intergovernmental revenues 13,061,458 - 13,061,458 Other 4,865,195 1,507,413 6,372,608 Total Revenues 142,764,522 15,832,065 158,596,587 Expenses: General government 27,698,423 - 27,698,423 Public safety 56,829,456 - 56,829,456 Physical environment 1,844,043 - 1,844,043 Transportation 9,176,041 - 9,176,041 Economic environment 6,229,876 - 6,229,876 Human Services 4,615,841 - 4,615,841 Culture and recreation 5,078,327 - 5,078,327 Court-related 6,542,853 - 6,542,853 Interest on long-term debt 577,519 - 577,519 Landfill - 14,290,466 14,290,466 Total Expenses 118,592,379 14,290,466 132,882,845 Increase in net assets before transfers 24,172,143 1,541,599 25,713,742 Transfers 1,064,943 (1,064,943) - Increase in net assets 25,237,086 476,656 25,713,742 Net Assets 10/1/01 165,929,619 5,315,502 171,245,121 Net Assets 9/30/02 $ 191,166,705 $ 5,792,158 $ 196,958,863

26

The following graph is a comparison of program revenues and program expenses for all governmental activities. This chart is intended to give the reader an idea of the degree to which governmental activities are self-supporting.

Expenses and Program Revenues

010,000,00020,000,00030,000,00040,000,00050,000,00060,000,00070,000,000

GeneralGovernment

Public Saf et y PhysicalEnvironment

Transport at ion EconomicEnvironment

Human Services Cult ure andRecreat ion

Court -relat ed

Expenses

Program Revenues

The following pie chart illustrates the composition of governmental activities revenue and its percent in relation to total governmental revenues:

Revenues by Source-Governmental Activities

Intergovernmental Revenues

9%

Other3%

Charges for Services

15%

Capital Grants and Contributions

8%

Operating Grants and Contributions

10%Other Taxes

21%

Property Taxes34%

27

Business-type activity. The County has only one business-type activity which is the solid waste management system. The system consists of an incinerator operated by an outside vendor, two operating landfills and four closed landfills. The fund finished the year with a net income of $476,656, an increase of $1,031,435 over the prior year. A significant component of expense for the landfills is the amount of closure and long term care costs which are accrued each year based upon current cost. For both open and closed landfills, these costs are estimated by outside engineers and can vary significantly from year to year. In 2002, these estimates resulted in a charge to expense of $194,305 compared to $1,705,002 in 2001. On the other hand, charges for services also decreased by almost $700,000. This decrease is a result of several cities which chose not to use the County system. The following pie chart gives the breakdown of revenues received by the Landfill Fund and its percent in relation to total revenues received. The fund is supported primarily by charges for services which includes tipping fees and special assessments which are currently charged for disposal only. The County adopted universal collection for 2003 and special assessments for next year will include an amount for both collection and disposal.

Revenues by Source - Business-type ActivitiesInvestment Earnings

4%

Special Assessments27%

Miscellaneous3%

Charges for Services66%

Operating Expenses in the Landfill Fund decreased approximately $2,068,500 over the prior year. The majority of this decrease ($1,510,700) was from adjustments to closing and long term care costs discussed above. The

28

remainder of the decrease ($472,200) was in the operating contract for the incinerator, primarily for disputed amounts. Financial Analysis of the County’s Funds. As noted earlier, the County uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental funds. The focus of governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the County’s financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year. The combined ending fund balance for all governmental funds at September 30, 2002 was $89,423,410. Of this amount, $63,799,997 was included in unreserved fund balance with the remainder of $25,623,413 reserved for various purposes including debt service, capital projects, and contracts in progress. The combined ending fund balance at the end of last year was $87,474,034, a net increase of $1,949,376. This indicates that revenues are keeping pace with expenses but not by the margin we have experienced in prior years. The County’s chief operating fund is the general fund. The general fund as presented in the accompanying financial statements includes the general funds of the Board of County Commissioners, Clerk, Sheriff, Tax Collector, Property Appraiser and Supervisor of Elections. Eliminations have been made in combining these funds so that intergovernmental transactions have been eliminated. The unreserved fund balance in the General Fund at September 30, 2002 was $22,393,419 compared to $22,046,563 at the end of 2001. The County was able to maintain a stable fund balance during the period following September 11, 2001, despite the decrease in interest rates affecting our investment income and the economic slowdown affecting building permit revenue and intergovernmental revenues such as state sales tax and revenue sharing. The County has three funds that are considered major funds under criteria set forth by GASB Statement Number 34. Those funds include the Road Impact Fees and County Sales Tax Special Revenue Funds and the Sales Tax Capital Projects Fund. A brief discussion of these funds follows: Road Impact Fees: This fund is used to account for impact fees collected from the issuance of building permits in the County. Funds collected must be used for new road construction or reconstruction in the district in which collected within six years of collection. This period can be extended under certain circumstances. Road impact fees increased about 30% over the prior year, from $8,432,684 in

29

2001 to $11,160,226 in 2002. Most of this increase was due to prepayments in advance of adjustments to fees made October 1, 2002. Expenses were also higher, $9,923,198 compared to $3,792,025 in 2001, due to several large projects which were completed this year including the extension of County Road 448, the completion of Huffstetler Road and improvements to the intersection of Highway 441 and Donnelly Street. County Sales Tax: This fund is used to account for the extra penny sales tax that was authorized for fifteen years by the voters of Lake County in November, 1987. The current levy expired December 31, 2002. In an election held November 6, 2001, the voters of Lake County elected to extend the tax for another fifteen years with the revenues divided equally among the County, cities and school district. These funds must be used for infrastructure projects or public safety equipment with a useful life in excess of five years or on debt used to finance the above. The revenue for 2002 amounted to $14,311,889 compared to $13,451,715. Approximately $4,300,000 of these funds were used to pay debt service and the remainder was transferred to the sales tax capital projects fund. Sales Tax Capital Projects: This fund is used to account for capital projects constructed using sales tax revenues discussed above. Projects completed during 2002 are discussed under the section entitled “Capital Asset and Debt Administration.” Proprietary funds. The County’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. As mentioned earlier, the County’s only enterprise fund is the Landfill Fund. This fund is used to account for the County’s solid waste management system which consists of three operating landfills, the Ash Monofill, Phase IIB and the Construction and Demolition landfill, and four closed landfills at Astatula, Umatilla, Lady Lake and Clermont. In addition, the County has a service agreement with Covanta, Inc. for the operation of an incinerator. The County is obligated to provide 130,000 tons of municipal solid waste to the plant each year. Contract costs decreased during 2002 by $472,262 for disputes regarding the payment of operations and maintenance fees and property taxes. The County is involved in litigation with the vendor, but the suit has been stayed pending the bankruptcy filing by the vendor. General Fund Budgetary Highlights Differences between the original budget and the final amended budget were $3,209,172 and can be briefly summarized as follows:

30

• General government increases in the amount of $1,498,239 primarily for voting machines, Geographical Information Systems (GIS), remote mail operations center, and additional ad valorem taxes to cities.

• Public safety increases of $435,972 for inmate medical expenses.

• Physical environment increases of $187,390 for the Water Resource

Atlas most of which will be reimbursed.

• Economic environment increases of $791,874 for additions to the Jobs Growth Incentive Fund and capital outlay.

• Human services and culture and recreation decreases of $97,103

• Court-related expenses increases of $392,800 primarily for equipment.

Capital Asset and Debt Administration Capital assets. The County’s investment in capital assets for its governmental and business-type activity as of September 30, 2002, amounts to $115,713,151 (net of accumulated depreciation). This investment in capital assets includes land, buildings and systems, improvements, machinery and equipment, park facilities, and as mentioned earlier, roads completed and put into use during fiscal year 2002. Each year until 2006, construction of roads, bridges, and drainage systems incurred during the current fiscal year will be added to the County’s capital assets. In the year 2006, the County’s financial statements will reflect the cost of all roads, bridges and drainage structures acquired or built over the last 25 years. Major capital asset events during the current fiscal year included the following:

• Acquisition and installation of touch screen voting equipment -$2,700,000 • Installation of a county-wide radio system which will be used by the

Sheriff, Fire Department, Public Works and Solid Waste. The prior system was outdated and didn’t provide consistent communication across the County-$2,100,000

• Improvements to County Road 561 and Dewey Robbins Road-$1,710,566

• Construction of libraries in Groveland, Astor and Paisley under a plan to

improve the county-wide library system adopted by the Board in 2000-$1,104,171

31

• Renovation of the former First Union Bank building to be used by the Clerk of Courts for recording and several administrative functions, to relieve overcrowding in the Judicial Center-$1,099,495

Lake County’s Capital Assets

Governmental Business-typeActivities Activity Total

Land $ 5,356,946 $ 2,943,586 $ 8,300,532 Buildings 63,964,234 1,686,453 65,650,687 Improvements other than buildings 303,543 1,785,100 2,088,643 Machinery and equipment 16,297,755 1,904,460 18,202,215 Infrastructure 7,798,959 - 7,798,959 Construction in progress 13,492,486 179,629 13,672,115 Total $ 107,213,923 $ 8,499,228 $ 115,713,151

Additional information on capital assets can be found in the Notes to the Financial Statements. Long-Term debt At September 30, 2002, Lake County had bonded debt outstanding of $8,400,000. This amount includes $4,165,000 in Sales Tax Refunding Revenue Bonds which were paid in full on December 1, 2002. The remainder of bonded debt outstanding includes $4,235,000 in Pari-mutuel Revenues Replacement bonds. These bonds were issued in 2001 to fund county-wide recreation projects. They are secured by sales tax revenues which are paid to the County by the State of Florida as a replacement for funds previously distributed from pari-mutuel wagering revenues. Both series of bonds are rated “AAA” by Standard and Poor’s Ratings Services Group and Fitch, Inc. Other debt outstanding consists of a line of credit in the Landfill Fund that amounted to $11,000,000 at year end. A payment of $1,000,000 was made subsequent to year and the remaining $10,000,000 was converted to fixed rate debt in December, 2002. The note is due in annual payments of $1,000,000 for ten years at an interest rate of 3.69%. Additional information on debt can be found in the Notes to the Financial Statements.

32

Economic Factors and Next Year’s Budgets and Rates

• The unemployment rate for Lake County is estimated at 4.8% compared to 5.4% for the state and 6.0% for the nation. Last year’s rate for the County was 3.7%.

• Inflation is low nationally with the consumer price index at 1.8% over the

prior year. Locally, the composite cost of living index for the metropolitan statistical area is 98.9.

• Return on investments for the upcoming year will be lower as maturing

investments are reinvested at lower rates. Short term (less than 90 days) interest rates are about 1.5% compared to 2.9% at the end of last fiscal year.

All of these factors were considered in preparing the County’s budget for the 2003 fiscal year. In addition, at its final budget hearing on September 17, 2002, the Board adopted the following millage rates:

• General Fund: 5.087 mills and an additional millage of .83 for solid waste. This additional millage will be used to reduce the tipping fee in the solid waste fund from $95 per ton to $45 per ton.

• Stormwater: .4 mills in accordance with the five year implementation plan

mentioned earlier.

• Lake County Ambulance Fund: .5289 mills. Requests for Information This financial report is designed to provide a general overview of the Lake County finances for all of those with an interest in the government’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the County Finance Department, 315 West Main Street, Tavares, Florida 32778. In addition, financial statements for the Lake County Industrial Development Authority, a component unit of the County, may be obtained from the above address.

LAKE COUNTY, FLORIDASTATEMENT OF NET ASSETS

September 30, 2002

Governmental Business-TypeAssets Activities Activity TotalCurrent Assets:Cash and Cash Equivalents $ 96,468,008 $ 4,702,399 $ 101,170,407 Other Investments 5,497,727 - 5,497,727 Restricted Cash and Cash Equivalents - 120,708 120,708 Accounts Receivable 318,007 1,445,432 1,763,439 Due from Other Governments 5,870,885 71,586 5,942,471 Inventories 920,949 - 920,949 Prepaid Items 82,275 - 82,275 Total Current Assets 109,157,851 6,340,125 115,497,976

Noncurrent Assets:Restricted Cash and Cash Equivalents - 6,619,560 6,619,560 Assessments Receivable 228,913 - 228,913 Deferred Charge 74,089 1,728,263 1,802,352 Land and Other Nondepreciable Assets 18,849,432 3,123,215 21,972,647 Capital Assets, Net of Accumulated Depreciation 88,364,491 5,376,013 93,740,504 Total Noncurrent Assets 107,516,925 16,847,051 124,363,976 Total Assets 216,674,776 23,187,176 239,861,952

LiabilitiesCurrent Liabilities:Accounts Payable 5,475,681 1,136,142 6,611,823 Retainage Payable 806,429 - 806,429 Accrued Liabilities 1,752,856 43,040 1,795,896 Due to Other Governments 430,166 28,998 459,164 Deposits 2,113,282 50,677 2,163,959 Estimated Claims Payable 1,681,540 - 1,681,540 Currrent Portion of Long Term Obligations 6,691,803 1,168,314 7,860,117 Total Current Liabilities 18,951,757 2,427,171 21,378,928

Noncurrent Liabilities:Noncurrent Portion of Long Term Obligations 6,556,314 49,549 6,605,863 Line of Credit Payable - 10,000,000 10,000,000 Landfill Closure and Post Closure Care Costs - 4,918,298 4,918,298 Total Noncurrent Liabilities 6,556,314 14,967,847 21,524,161 Total Liabilities 25,508,071 17,395,018 42,903,089

Net AssetsInvested in Capital Assets, Net of Related Debt 102,630,953 3,693,211 106,324,164 Restricted for Closure and Post Closure Care Costs - 1,511,859 1,511,859 Restricted for Transportation Expenses 27,736,780 - 27,736,780 Restricted for Capital Projects 14,986,623 - 14,986,623 Restricted for Public Safety 8,090,265 - 8,090,265 Restricted for Debt Service 7,490,719 172,338 7,663,057 Restricted for Other Purposes 5,328,207 - 5,328,207 Unrestricted 24,903,158 414,750 25,317,908 Total Net Assets $ 191,166,705 $ 5,792,158 $ 196,958,863

The notes to the financial statements are an integral part of this statement.

33

Operating Capital GrantsCharges for Grants and and

Programs Expenses Services Contributions ContributionsGovernmental Activities:General Government $ 27,698,423 $ 5,954,691 $ 800,681 $ - Public Safety 56,829,456 10,341,315 1,017,206 254,835 Physical Environment 1,844,043 472,415 136,108 - Transportation 9,176,041 1,043,148 6,096,162 11,174,577 Economic Environment 6,229,876 - 2,203,418 - Human Services 4,615,841 83,742 2,959,243 - Culture and Recreation 5,078,327 304,574 455,742 - Court-Related 6,542,853 3,099,943 481,358 - Interest on Long-Term Debt 577,519 - 297,667 - Total Governmental Activities 118,592,379 21,299,828 14,447,585 11,429,412

Business-Type Activity: Landfill 14,290,466 13,909,786 99,288 -

Total $ 132,882,845 $ 35,209,614 $ 14,546,873 $ 11,429,412

General Revenues Taxes: Property Taxes Sales Taxes Gas Taxes Franchise Fees Other Intergovernmental Revenues Investment Income MiscellaneousTransfersTotal General Revenues and Transfers

Change in Net AssetsNet Assets at Beginning of Year

Net Assets at End of Year


LAKE COUNTY, FLORIDASTATEMENT OF ACTIVITIES

For the Year Ended September 30, 2002

Program Revenues

34

Governmental Business-TypeActivities Activity Total

$ (20,943,051) $ - $ (20,943,051) (45,216,100) - (45,216,100) (1,235,520) - (1,235,520) 9,137,846 - 9,137,846

(4,026,458) - (4,026,458) (1,572,856) - (1,572,856) (4,318,011) - (4,318,011) (2,961,552) - (2,961,552)

(279,852) - (279,852) (71,415,554) - (71,415,554)

- (281,392) (281,392)

(71,415,554) (281,392) (71,696,946)

47,277,830 - 47,277,830 14,311,889 - 14,311,889 5,692,284 - 5,692,284 1,119,189 315,578 1,434,767 9,259,852 - 9,259,852

13,061,458 13,061,458 3,055,096 915,907 3,971,003 1,810,099 591,506 2,401,605 1,064,943 (1,064,943) -

96,652,640 758,048 97,410,688

25,237,086 476,656 25,713,742 165,929,619 5,315,502 171,245,121

$ 191,166,705 $ 5,792,158 $ 196,958,863

Changes in Net AssetsNet (Expense) Revenue and

35

LAKE COUNTY, FLORIDABALANCE SHEET

GOVERNMENTAL FUNDSSeptember 30, 2002

Major Special Revenue FundsRoad County

General Impact SalesAssets Fund Fees Tax

Cash $ 1,852,367 $ - $ - Pooled Cash and Investments 25,839,289 22,586,711 1,828,431 Other Investments - - - Accounts Receivable 127,366 - - Assessments Receivable - - - Due from Other Funds 261,818 - - Intragovernmental Receivables 457,737 - - Due from Other Governments 1,283,524 915,343 1,598,411 Inventories 322,042 - - Prepaid Expenditures - - -

Total Assets $ 30,144,143 $ 23,502,054 $ 3,426,842

Liabilities and Fund Balances

Liabilities: Accounts Payable $ 2,155,735 $ 780,941 $ - Retainage Payable - 443,479 - Accrued Liabilities 1,373,481 - - Due to Other Funds - - - Intragovernmental Payables 423,909 - - Due to Other Governments 427,116 - - Deferred Revenue 25,003 - - Deposits 2,083,458 - -

Total Liabilities 6,488,702 1,224,420 -

Fund Balances: Reserved for Encumbrances 976,913 2,573,059 - Reserved for Inventories 285,109 - - Reserved for Prepaid Expenditures - - - Reserved for Law Enforcement - - - Reserved for Debt Service - - - Reserved for Capital Projects - - - Unreserved, reported in General Fund 22,393,419 - Special Revenue Funds - 19,704,575 3,426,842

Total Fund Balances 23,655,441 22,277,634 3,426,842

Total Liabilities and Fund Balances $ 30,144,143 $ 23,502,054 $ 3,426,842


36

Major CapitalProjects Fund

Sales Tax Nonmajor TotalCapital Governmental Governmental

Projects Funds Funds

$ - $ 1,653 $ 1,854,020 12,004,199 25,021,241 87,279,871

- 3,723,622 3,723,622 - 186,308 313,674 - 228,913 228,913 - - 261,818 - 505,262 962,999 - 1,563,411 5,360,689 - 459,540 781,582 - 8,400 8,400

$ 12,004,199 $ 31,698,350 $ 100,775,588

$ 425,799 $ 1,935,724 $ 5,298,199 214,760 148,190 806,429

- 370,361 1,743,842 - 261,818 261,818

26,756 18,864 469,529 - 3,050 430,166 - 228,913 253,916 - 4,821 2,088,279

667,315 2,971,741 11,352,178

3,018,967 2,122,280 8,691,219 - 459,539 744,648 - 8,400 8,400 - 154,715 154,715 - 7,490,719 7,490,719

8,317,917 215,795 8,533,712

- - 22,393,419 - 18,275,161 41,406,578

11,336,884 28,726,609 89,423,410

$ 12,004,199 $ 31,698,350 $ 100,775,588

37

LAKE COUNTY, FLORIDA RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL

FUNDS TO THE NET ASSETS OF GOVERNMENTAL ACTIVITIES September 30, 2002

Amounts reported for governmental activities in the statement of net assets are different because:

Fund balances-total governmental funds $ 89,423,410

Capital assets used in governmental activities are not finanical resources and, therefore, are not reported in the funds. This is the amount of capital assets net of accumulated depreciation. 107,104,462

Interest expense reported in the fund statements is considered prepaid expense in the statement of activities. 73,875

Long-term revenues for which recognition is deferred in the governmental funds are recorded as revenue in the statement of activities. 228,913

Internal service funds are used by management to charge the costs of fleet maintenance and insurance to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. 7,466,722

Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in the funds. (13,130,677)

Net assets of governmental activities $ 191,166,705


39

LAKE COUNTY, FLORIDASTATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCESGOVERNMENTAL FUNDS


Major Special Revenue FundsRoad County

Impact SalesGeneral Fees Tax

Revenues Taxes $ 42,656,810 $ - $ 14,311,889 Licenses and Permits 455,227 - - Intergovernmental 15,320,736 266,073 - Charges for Services 10,551,107 - - Fines and Forfeitures 1,369,936 - - Special Assessments - 11,160,226 - Investment Income 978,261 616,101 34,891 Miscellaneous 1,000,740 - - Total Revenues 72,332,817 12,042,400 14,346,780

Expenditures Current: General Government 22,553,955 - - Public Safety 35,244,221 - - Physical Environment 1,394,529 - - Transportation - 9,923,198 - Economic Environment 1,144,390 - - Human Services 3,764,224 - - Culture and Recreation 1,476,109 - - Court-Related Expenditures 5,879,840 - - Debt Service: Principal - - - Interest and Fiscal Charges - - - Capital Outlay - - - Total Expenditures 71,457,268 9,923,198 -

Excess of Revenues Over (Under) Expenditures 875,549 2,119,202 14,346,780

Other Financing Sources (Uses) Operating Transfers In 5,825,608 - - Operating Transfers Out (6,276,145) (467,782) (13,549,220) Total Other Financing Sources (Uses) (450,537) (467,782) (13,549,220)

Net Change in Fund Balances 425,012 1,651,420 797,560 Fund Balance at Beginning of Year 23,165,509 20,626,214 2,629,282 Inventory Reserve Increase 64,920 - -

Fund Balance at End of Year $ 23,655,441 $ 22,277,634 $ 3,426,842


40

Major Capital Projects Fund

Sales Tax Nonmajor TotalCapital Governmental Governmental

Projects Funds Funds

$ - $ 20,692,345 $ 77,661,044 - 4,343,726 4,798,953 - 12,347,859 27,934,668 - 2,863,965 13,415,072 - 622,825 1,992,761 - 805,590 11,965,816

370,203 805,475 2,804,931 - 1,028,888 2,029,628

370,203 43,510,673 142,602,873

- 575,688 23,129,643 - 21,153,248 56,397,469 - 1,006,378 2,400,907 - 11,439,625 21,362,823 - 5,503,944 6,648,334 - 880,043 4,644,267 - 3,278,731 4,754,840 - 169,475 6,049,315

- 4,010,000 4,010,000 - 578,555 578,555

11,074,784 428,275 11,503,059 11,074,784 49,023,962 141,479,212

(10,704,581) (5,513,289) 1,123,661

8,159,640 10,120,132 24,105,380 - (3,128,629) (23,421,776)

8,159,640 6,991,503 683,604

(2,544,941) 1,478,214 1,807,265 13,881,825 27,171,204 87,474,034

- 77,191 142,111

$ 11,336,884 $ 28,726,609 $ 89,423,410

41

LAKE COUNTY, FLORIDA RECONCILIATION OF THE STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDSTO THE STATEMENT OF ACTIVITIES

For The Year Ended September 30, 2002

Amounts reported for governmental activities in the statement of activities are different because:

Net change in fund balances-total governmental funds $ 1,807,265

Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays of $26,760,434 exceeded depreciation of $6,034,648 in the current period. 20,725,786

The net effect of miscellaneous transactions involving capital assets (i.e., sales, trade-ins, and donations ) is to decrease net assets. (1,349,219)

Long-term revenues for which recognition is deferred in the governmental funds are recorded as revenue in the statement of activities. (91,199)

The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net assets. Also, governmental funds report the effect of issuance costs, premiums, discounts, and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities. This amount is the net effect of these differences in the treatment of long-term debt and related items. 4,011,036

Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds. (245,347)

Internal service funds are used by management to charge the costs of fleet maintenance and insurance to individual funds. The net revenue of internal service funds is reported with governmental activities. 378,764

Change in net assets of governmental activities $ 25,237,086


43

LAKE COUNTY, FLORIDASTATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES - BUDGET AND ACTUALGENERAL FUND


Variance withFinal Budget

Original Final PositiveBudget Budget Actual (Negative)

Revenues Taxes $ 43,939,136 $ 44,068,012 $ 42,656,810 $ (1,411,202) Licenses and Permits 426,000 426,000 455,227 29,227 Intergovernmental 13,826,499 14,506,889 15,320,736 813,847 Charges for Services 10,133,545 10,380,045 10,551,107 171,062 Fines and Forfeitures 1,274,500 1,085,700 1,369,936 284,236 Investment Income 1,176,000 831,000 978,261 147,261 Miscellaneous 727,700 562,950 1,000,740 437,790 Less: Statutory Requirement (3,303,302) (3,303,302) - 3,303,302 Total Revenues 68,200,078 68,557,294 72,332,817 3,775,523

Expenditures Current: General Government: Legislative Offices 435,460 435,460 409,558 25,902 Executive Offices 1,250,666 1,372,074 1,214,249 157,825 Administrative Services 3,679,887 3,977,588 3,338,979 638,609 Growth Management 1,418,432 1,459,166 1,259,761 199,405 Community Services 60,551 60,501 41,231 19,270 Public Works 5,455,906 5,516,220 4,338,897 1,177,323 Emergency Services 292,127 294,127 176,877 117,250 Constitutional Officers 328,281 360,770 340,956 19,814 Clerk of the Circuit Court 4,471,610 4,635,756 4,446,176 189,580 Property Appraiser 1,724,263 1,722,307 1,721,679 628 Tax Collector 3,104,577 3,119,561 2,850,752 268,809 Supervisor of Elections 986,747 1,512,648 1,330,185 182,463 Non-Departmental 1,327,346 1,567,914 1,084,655 483,259 Total General Government 24,535,853 26,034,092 22,553,955 3,480,137

Public Safety: Growth Management 599,812 594,312 553,829 40,483 Community Services 938,794 938,794 907,755 31,039 Emergency Services 381,690 362,356 351,854 10,502 Sheriff 32,395,211 32,641,211 32,135,824 505,387 Constitutional Officers 1,177,118 1,391,924 1,294,959 96,965 Total Public Safety 35,492,625 35,928,597 35,244,221 684,376

Physical Environment: Growth Management 673,907 864,239 675,020 189,219 Community Services 775,871 772,929 719,509 53,420 Total Physical Environment 1,449,778 1,637,168 1,394,529 242,639


44


CHANGES IN FUND BALANCES - BUDGET AND ACTUALGENERAL FUND


Variance withFinal Budget


Expenditures (Contd.) Current: Economic Environment: Tourism 735,744 1,527,817 994,252 533,565 Community Services 154,277 154,078 150,138 3,940 Total Economic Environment 890,021 1,681,895 1,144,390 537,505

Human Services: Community Services 3,919,641 3,906,421 3,046,665 859,756 Emergency Services 758,101 759,515 717,559 41,956 Total Human Services 4,677,742 4,665,936 3,764,224 901,712

Culture and Recreation: Community Services 99,995 103,936 93,589 10,347 Public Works 1,886,167 1,792,383 1,361,007 431,376 Tourism 34,838 39,384 21,513 17,871 Total Culture and Recreation 2,021,000 1,935,703 1,476,109 459,594

Court-Related Expenditures: Judicial Support 1,476,284 1,580,084 1,364,216 215,868 State Attorney 140,908 165,908 115,742 50,166 Public Defender 181,505 197,505 158,527 38,978 Clerk of the Circuit Court 4,261,377 4,509,377 4,241,355 268,022 Total Court-Related Expenditures 6,060,074 6,452,874 5,879,840 573,034

Total Expenditures 75,127,093 78,336,265 71,457,268 6,878,997

Excess of Revenues Over (Under) Expenditures (6,927,015) (9,778,971) 875,549 10,654,520

Other Financing Sources (Uses) Operating Transfers In 5,806,408 5,908,424 5,825,608 (82,816) Operating Transfers Out (6,446,189) (6,504,169) (6,276,145) 228,024 Reserve for Contingencies (12,279,149) (12,570,609) - 12,570,609 Total Other Financing Sources (Uses) (12,918,930) (13,166,354) (450,537) 12,715,817

Net Change in Fund Balances (19,845,945) (22,945,325) 425,012 23,370,337

Fund Balance at Beginning of Year 19,845,945 22,945,325 23,165,509 220,184

Inventory Reserve Increase - - 64,920 64,920

Fund Balance at End of Year $ - $ - $ 23,655,441 $ 23,655,441

45


CHANGES IN FUND BALANCE - BUDGET AND ACTUALMAJOR FUND - SPECIAL REVENUE FUND - ROAD IMPACT FEES


Road Impact FeesVariance withFinal Budget


Revenues Special Assessments $ 10,445,583 $ 10,957,322 $ 11,160,226 $ 202,904 Intergovernmental - 266,073 266,073 - Investment Income 800,000 800,000 616,101 (183,899) Less: Statutory Requirement (562,279) (562,279) - 562,279 Total Revenues 10,683,304 11,461,116 12,042,400 581,284

Expenditures Current: Transportation 31,545,643 30,969,567 9,923,198 21,046,369 Total Expenditures 31,545,643 30,969,567 9,923,198 21,046,369

Excess of Revenues Over (Under) Expenditures (20,862,339) (19,508,451) 2,119,202 21,627,653

Other Financing Sources (Uses) Operating Transfers Out (969,125) (969,125) (467,782) 501,343 Reserve for Contingencies - (148,638) - 148,638 Total Other Financing Sources (Uses) (969,125) (1,117,763) (467,782) 649,981

Net Change in Fund Balances (21,831,464) (20,626,214) 1,651,420 22,277,634

Fund Balance at Beginning of Year 21,831,464 20,626,214 20,626,214 -



46


CHANGES IN FUND BALANCE - BUDGET AND ACTUALMAJOR FUND - SPECIAL REVENUE FUND - COUNTY SALES TAX


County Sales TaxVariance withFinal Budget


Revenues Taxes $ 11,500,000 $ 11,500,000 $ 14,311,889 $ 2,811,889 Investment Income 1,200 1,200 34,891 33,691 Less: Statutory Requirement (575,060) (575,060) - 575,060 Total Revenues 10,926,140 10,926,140 14,346,780 3,420,640

Expenditures Total Expenditures - - - -

Excess of Revenues Over (Under) Expenditures 10,926,140 10,926,140 14,346,780 3,420,640

Other Financing Sources (Uses) Operating Transfers Out (11,537,331) (13,549,220) (13,549,220) - Operating Transfers Out - (6,202) - 6,202 Total Other Financing Sources (Uses) (11,537,331) (13,555,422) (13,549,220) 6,202

Net Change in Fund Balances (611,191) (2,629,282) 797,560 3,426,842

Fund Balance at Beginning of Year 611,191 2,629,282 2,629,282 -



47

LAKE COUNTY, FLORIDASTATEMENT OF NET ASSETS

PROPRIETARY FUNDS September 30, 2002

Business-Type GovernmentalActivity Activities

Assets Landfill Fund Internal Service FundsCurrent Assets: Cash $ 1,350 $ - Pooled Cash and Investments 4,701,049 7,334,117 Other Investments - 1,774,105 Restricted Cash and Investments 120,708 - Accounts Receivable 1,445,432 4,333 Intragovernmental Receivables 21,586 8,022 Due from Other Governments 50,000 8,704 Inventory - 139,367 Total Current Assets 6,340,125 9,268,648 Noncurrent Assets: Restricted Cash and Investments 6,619,560 - Deferred Charge 1,728,263 - Capital Assets: Land 2,943,586 - Buildings 2,211,665 - Equipment 5,665,244 285,228 Improvements Other Than Buildings 6,284,201 - Construction Work in Progress 179,629 - Less: Accumulated Depreciation (8,785,097) (175,767) Total Capital Assets 8,499,228 109,461 Total Noncurrent Assets 16,847,051 109,461 Total Assets $ 23,187,176 $ 9,378,109

Liabilities Current Liabilities: Accounts Payable $ 1,136,142 $ 175,167 Accrued Liabilities 43,040 9,014 Due to Other Governments 28,998 - Due to Fiscal Agent - 2,315 Estimated Insurance Claims Payable - 1,681,540 Deposits 50,677 - Current Portion of Long Term Obligations 1,168,314 21,242 Total Current Liabilities 2,427,171 1,889,278 Noncurrent Liabilities: Accrued Benefits Payable 49,549 22,109 Line of Credit Payable 10,000,000 - Landfill Closure and Post Closure Care Costs 4,918,298 - Total Noncurrent Liabilities 14,967,847 22,109 Total Liabilities $ 17,395,018 $ 1,911,387

Net Assets Invested in Capital Assets, Net of Related Debt $ 3,693,211 $ 109,461 Restricted for Closure and Post Closure Care Costs 1,511,859 - Restricted for Debt Service 172,338 - Unrestricted Net Assets 414,750 7,357,261 Total Net Assets $ 5,792,158 $ 7,466,722


48

LAKE COUNTY, FLORIDA STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET ASSETSPROPRIETARY FUNDS



Landfill Fund Internal Service Funds

Operating Revenues: Franchise Fees $ 315,578 $ - Charges for Services 13,909,786 7,684,913 Miscellaneous 591,506 - Total Operating Revenues 14,816,870 7,684,913

Operating Expenses: Benefit Payments and Claims - 5,489,454 Personal Services 2,177,259 490,617 Contracted Services 9,960,169 7,928 Supplies and Materials 175,743 538,750 Repairs and Maintenance 191,014 319,843 Utilities 25,824 10,129 Other Charges and Services 183,953 1,050,430 Depreciation and Amortization 957,704 33,176 Landfill Closure and Post Closure Care Costs 194,305 - Total Operating Expenses 13,865,971 7,940,327

Operating Income (Loss) 950,899 (255,414)

Non-Operating Revenues (Expenses): Interest Revenue 915,907 250,165 Interest and Financing Costs (227,168) - Recycling and Other Grants 99,288 - Aid to Government Agencies (180,572) - Net Gain (Loss) on Disposal of Fixed Assets (16,755) 2,674 Total Non-Operating Revenues (Expenses) 590,700 252,839

Income (Loss) Before Operating Transfers 1,541,599 (2,575)

Operating Transfers In - 597,108 Operating Transfers Out (1,064,943) (215,769) Total Operating Transfers (1,064,943) 381,339

Change in Net Assets 476,656 378,764 Total Net Assets at Beginning of Year 5,315,502 7,087,958 Total Net Assets at End of Year $ 5,792,158 $ 7,466,722


49

LAKE COUNTY, FLORIDA STATEMENT OF CASH FLOWS

PROPRIETARY FUNDSFor the Year Ended September 30, 2002


Landfill Fund Internal Service FundsCash Flows from Operating Activities:

Cash Received from Customers, and Contributions Including Cash Deposits $ 14,140,885 $ 7,742,368 Cash Paid to Suppliers and for Claims (10,578,747) (7,090,648) Cash Paid to Employees (1,863,993) (409,438) Cash Paid to Internal Service Fund (323,309) (78,724) Cash Received from Franchise Fees 315,578 - Net Cash Provided by Operating Activities 1,690,414 163,558

Cash Flows from NonCapital Financing Activities: Cash Received for NonCapital Grants 86,306 - Payments to Government Agencies (180,572) - Cash Transfers from Other Funds - 597,108 Cash Transfers to Other Funds (1,064,943) (215,769) Net Cash (Used) Provided for NonCapital Financing Activities (1,159,209) 381,339

Cash Flows From Capital And Related Financing Activities: Payment on Line of Credit (2,000,000) - Interest and Financing Costs Paid on Line of Credit (227,168) - Additions to Property, Plant and Equipment (552,414) (11,909) Net Cash Used for Capital and Related Financing Activities (2,779,582) (11,909)

Cash Flows from Investing Activities: Interest Received 913,587 250,165 Net Cash Provided by Investing Activities 913,587 250,165

Net Increase (Decrease) in Cash And Cash Equivalents (1,334,790) 783,153 Cash and Cash Equivalents at October 1 12,777,457 8,325,069 Cash and Cash Equivalents at September 30 $ 11,442,667 $ 9,108,222


50

LAKE COUNTY, FLORIDA STATEMENT OF CASH FLOWS

PROPRIETARY FUNDSFor the Year Ended September 30, 2002


Landfill Fund Internal Service FundReconciliation of Operating Income (Loss) to Net CashProvided by Operating Activities

Operating Income (Loss) $ 950,899 $ (255,414)

Adjustments to Reconcile Operating Income (Loss)to Net Cash Provided by OperatingActivities:

Depreciation and Amortization Expense 957,704 33,176 ( Increase) Decrease in Accounts Receivable (331,218) 22,434 ( Increase) Decrease in Intragovernmental Receivables (7,425) 2,201 Decrease in Due from Other Governments - 32,819 Increase in Inventory - (13,408) Decrease in Prepaid Expense - 7 Increase in Closure and Post Closure Costs 20,155 - Increase in Accounts Payable 120,525 105,941 Decrease in Retainage Payable (12,683) - Increase in Advance Deposits 2,500 - Increase in Accrued Liabilities 7,875 445 Decrease in Due to Fiscal Agent - (726) Increase in Estimated Claims Payable - 234,073 Increase (Decrease) in Accrued Benefits Payable (17,918) 2,010 Total Adjustments 739,515 418,972

Net Cash Provided by Operating Activities $ 1,690,414 $ 163,558

Noncash Investing, Capital and Financing Activities

Gain (Loss) on Disposition of Fixed Assets (16,755) 2,674

Interest Revenue Reported in Accounts Receivable 133,569 -


51

LAKE COUNTY, FLORIDASTATEMENT OF FIDUCIARY ASSETS AND LIABILITIES

FIDUCIARY FUNDSSeptember 30, 2002

AgencyFunds

Assets

Cash $ 2,338,022 Pooled Cash and Investments 2,615,596 Restricted Cash and Investments 504,987 Other Investments 31,000 Accounts Receivable 462

Total Assets $ 5,490,067

Liabilities

Liabilities: Accounts Payable $ 302,681 Intragovernmental Payables 523,078 Due to Other Governments 1,870,957 Deposits 1,386,971 Taxes Collected in Advance 1,000,209 Cash Bonds Payable 406,171

Total Liabilities $ 5,490,067


52

53

LAKE COUNTY, FLORIDA NOTES TO FINANCIAL STATEMENTS SEPTEMBER 30, 2002

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements of Lake County, Florida, (the County), have been prepared in conformity with accounting principles generally accepted in the United States (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The more significant of the County's accounting policies are described below. A. Reporting Entity: Lake County is a political subdivision of the State of Florida pursuant to Article VIII, Section (1), Constitution of the State of Florida. It is guided by an elected Board of County Commissioners (the Board) which is governed by state statutes. In addition to the members of the Board, there are five elected Constitutional Officers: the Tax Collector, Property Appraiser, Clerk of the Circuit Court (Clerk), Sheriff and the Supervisor of Elections. The entities controlled by these officials are combined and comprise the primary government. The Board funds a portion, or in certain instances all, of the operating budgets of the County's Constitutional Officers. The payments by the Board to fund the operations of the Constitutional Officers are recorded as "Operating Transfers Out" on the financial statements of the Board and as "Operating Transfers In" on the financial statements of the Constitutional Officers. Florida Statutes require the applicable budget excess of the Constitutional Officers to be paid over to the Board at the close of the fiscal year. Accordingly, such amounts are recorded as "Operating Transfers Out" by the Constitutional Officers and "Operating Transfers In" by the Board. Segment information is reported for each of the County's Constitutional Officers within the General Fund. Eliminations of intragovernmental receivables, payables, and operating transfers have been made and are reported in the financial statements. The accompanying financial statements present Lake County (the primary government described above) and its component units. A component unit is a legally separate organization for which the County is financially accountable. Blended component units, although legally separate entities, are in substance, part of the County’s operations. A description of the County’s component units and the criteria for their inclusion in the County’s financial statements follows:

Blended Component Units:

Lake County Municipal Taxing Unit for Fire Protection; Greater Hills Municipal Service Unit; Greater Groves Municipal Service Benefit Unit; Village Green Street


54

Lighting; Greater Pines Municipal Services; Picciola Island Street Lighting; and Valencia Terrace Street Lighting: These funds are supported by fees collected from the residents who benefit from these services; however, pursuant to Florida Statutes, the Board of County Commissioners is the governing body of these organizations. These funds are included as Special Revenue Funds.

Discretely Presented Component Unit:

Lake County Industrial Development Authority (Authority): The Authority was created by resolution of the Board pursuant to Florida Statutes for the purpose of financing public projects and fostering economic development in the County. The County contracts with the Economic Development Commission of Mid-Florida, Inc. to provide these services. The Authority is funded by the County and by fees collected from the issuance of bonds. The bonds issued by the Authority constitute “no-commitment debt”, and are, therefore, not reported as liabilities of the Authority. The Authority had no assets, liabilities or fund equity as of the year ended September 30, 2002. Two companies issued bonds through the Authority during 2002 for which the Authority reported revenue of $41,000 and expenditures of $41,000. The Authority publishes annual audited financial statements. Those statements may be obtained by contacting the Office of the Clerk of Courts, 315 West Main Street, Post Office Box 7800, Tavares, Florida 32778, 352-343-9808.

The following is a listing of the name and legal authority for each component unit of Lake County, Florida.

Name

Legal Authority Lake County Municipal Taxing Unit for Fire Protection

County Ordinances 1985-13, 1990-24, 1990-29, 1991-18

Greater Hills Municipal Service Benefit Unit

County Ordinance 1990-28; County Resolution 1995-169

Greater Groves Municipal Service Benefit Unit

County Resolution 1993-226

Village Green Street Lighting


Greater Pines Municipal Services


Picciola Island Street Lighting

Resolution 1997-167


55 Continued

Valencia Terrace Street Lighting

Resolution 1999-147

Lake County Industrial Development Authority

County Resolution 1987-8 Joint Ventures:

District Five Medical Examiner: Lake County is a participant in an interlocal agreement with Citrus, Hernando, Marion and Sumter counties to share the operating costs of the District Five Medical Examiner’s Office (Medical Examiner). The Medical Examiner is governed by a committee consisting of one county commissioner from each county. The committee approves the annual budget and the method for dividing costs among the five counties. Lake County is the Administrative Coordinator for the Medical Examiner and is responsible for hiring employees, managing funds, and providing support services. Lake County receives a fee of 5% of expenditures to cover these support services. In addition, Lake County provided the facility that is used for the operation of the office. The costs of maintenance, repair, upkeep and subsequent capital expenditures of and for the facility, however, are considered costs of the joint venture. Any one of the counties has the right to terminate its participation by giving 60 days notice to the other counties and paying its share of the costs up to the date of termination. The termination of the interlocal agreement by one county does not affect the validity of the agreement for the other non-terminating counties. The District Five Medical Examiner publishes annual audited financial statements. Those statements may be obtained by contacting the Office of the Clerk of Courts, 315 West Main Street, Post Office Box 7800, Tavares, Florida 32778, 352-343-9808. Lake-Sumter Emergency Medical Services, Inc. (LSEMS): Lake County is a participant in an interlocal agreement with Sumter County to provide ambulance services to the citizens of each county through the creation of a non-profit corporation. The corporation is governed by a Board of Directors consisting of: one member each from the Sumter and Lake County Board of County Commissioners, one member each from a city commission within each county, one citizen from each county, and a representative from a hospital whose service area includes either county. Officers are elected by the Board except for the Treasurer which shall be the Lake County Clerk of Courts for the duration of the corporation’s existence. As Treasurer, the Clerk is responsible for all funds of the corporation, including the receipt and disbursement of all cash. The Clerk receives an administrative fee for this service. The Board employs an executive director who is responsible for the daily operation of the ambulance service, including carrying out the Board’s directives, hiring and firing employees, and preparing an annual operating budget. Funding is provided by Lake and Sumter


56

Counties. All costs and expenses are prorated between the two counties based upon the number of transports each county received for the prior fiscal year. For fiscal year 2001-02, the interlocal agreement specified that Lake County shall be responsible for 80% of such costs and expenses and Sumter County shall be responsible for 20% of such costs and expenses. During the year ended September 30, 2002, Lake County provided funding of $5,023,695. Upon notification by the Treasurer that a budget deficit exists, both Counties shall prorate the amount of deficit in accordance with the above allocation and remit such payment to the Treasurer. Lake-Sumter Emergency Medical Services, Inc. publishes annual audited financial statements. Those statements may be obtained by contacting the Office of the Clerk of Courts, 315 West Main Street, Post Office Box 7800, Tavares, Florida 32778, 352-343-9808. B. Government-wide and fund financial statements: The government-wide financial statements (i.e., the statement of net assets and the statement of activities) report information on all of the nonfiduciary activities of Lake County and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from the County’s Landfill Fund, a business-type activity, which relies on user fees and charges for support. The statement of activities demonstrates the degree to which the direct expenses of a given function, such as general government, public safety, transportation, physical and economic environment, human services, culture and recreation and court related expenses, are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements or a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though fiduciary funds are excluded from the government-wide financial statements. Major individual governmental funds and the Landfill fund are reported as separate columns in the fund financial statements.


57 Continued

C. Measurement focus, basis of accounting, and financial statement presentation:

The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the County considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes, special assessments, intergovernmental revenues, charges for services and interest associated with the current fiscal period are all considered to be susceptible to accrual and have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the County. The County reports the following major governmental funds:

The General Fund is the County’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The general funds of the Clerk, Property Appraiser, Sheriff, Tax Collector and Supervisor of Elections are included in the County’s General Fund. The Road Impact Fees Special Revenue Fund accounts for revenues and expenditures for road improvements pursuant to County Ordinance 1985-1, as amended, and by Ordinance 1996-33. The County Sales Tax Special Revenue Fund accounts for revenues collected from the discretionary infrastructure sales surtax pursuant to Chapter 212, Part I, Florida Statutes. This one cent levy was originally approved November


58

3, 1987, for a period of 15 years. An extension for another 15 years was approved by referendum November 6, 2001. The Sales Tax Capital Projects Fund accounts for the construction of projects financed by the discretionary infrastructure sales surtax.

Lake County has the following major proprietary fund:

The Landfill Fund accounts for the operating of the County’s landfills and the Waste to Energy Facility operated by a private vendor.

Additionally, Lake County has the following fund types:

Special Revenue Funds account for the proceeds of specific revenue sources (other than major capital projects) that are legally restricted to expenditures for specified purposes. Debt Service Funds account for the accumulation of resources for and the payment of principal and interest on the Sales Tax Bonds and Pari-Mutuel Revenues Replacement Bonds. Capital Projects Funds account for financial resources to be used for the acquisition or construction of major capital facilities. Internal Service Funds account for the provision of health and general liability insurance coverage and fleet maintenance services provided to other County departments or outside agencies and other governments, on a cost reimbursement basis. Agency Funds account for situations where the County’s role in handling funds is purely custodial, such as the receipt, temporary investment and subsequent payment to individuals, agencies or other governments.

As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the County’s Landfill Fund and various other functions of the government. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned.

Amounts reported as program revenues include 1) charges to customers or applicants for goods, services, or privileges provided, 2) operating grants and contributions, and 3) capital grants and contributions, including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes.


59 Continued

Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the landfill enterprise fund, and of the County’s internal service funds are charges to customers for sales and services. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. Proprietary funds also distinguish between restricted and unrestricted resources. When both restricted and unrestricted resources are available for use, it is the County’s policy to use restricted resources first, then unrestricted resources as they are needed. Proprietary Funds are accounted for using the accrual basis of accounting. Their revenues are recognized when they are earned and their expenses are recognized when they are incurred. Proprietary Funds do not apply all Financial Accounting Standards Board (FASB) Statements and Interpretations issued after November 30, 1989.

D. Deposits and Investments: Cash and cash equivalents consist of cash in the State Board of Administration cash management pool which has the general characteristic of a demand deposit account in that the County may deposit additional cash at any time and also may withdraw cash at any time without prior notice or penalty. Section 125.31, Florida Statutes, gives the County the authority to invest surplus funds in:

(a) The Local Government Surplus Funds Trust Fund. (b) Negotiable direct obligations of, or obligations the principal and

interest of which are unconditionally guaranteed by, the U.S. Government.

(c) Interest-bearing time deposits or savings accounts in banks organized under the laws of Florida, in national banks organized under the laws of the U.S. and doing business in Florida, or in savings and loan associations located in Florida and organized under federal law and federal supervision, provided that the deposits are collateralized as discussed below, or in federal savings and loan associations located in the state.


60

(d) Obligations of the federal farm credit banks; the Federal Home Loan Mortgage Corporation, including Federal Home Loan Bank or its district banks or obligations guaranteed by the Government National Mortgage Association.

(e) Obligations of the Federal National Mortgage Association, including Federal National Mortgage Association participation certificates and mortgage pass-through certificates guaranteed by the Federal National Mortgage Association.

All investments are stated at fair value. Investment income includes interest earnings and realized and unrealized gains and losses on investments.

E. Inventories: Inventories are stated at cost, using the first-in, first-out (FIFO) method. For the “consumption method” of accounting for inventories, the cost of an item is recorded as an expenditure at the time the item is used. The “purchases method” of accounting for inventories records the cost of an inventory item when it is purchased. Inventories reported under the purchases method for all Governmental Funds are equally offset by a fund balance reserve which indicates that they do not constitute available spendable resources even though they are a component of net current assets. In the governmental fund financial statements, all governmental fund inventories are accounted for using the purchases method except for postage in the General Fund, which is accounted for using the consumption method. In the government-wide statements, all inventories are reported using the consumption method.

F. Property Taxes – Lien and Levy Dates All real and tangible personal property taxes are due and payable on November 1 of each year or as soon thereafter as the assessment roll is certified by the County Property Appraiser. The Tax Collector mails a notice of taxes levied by the various governmental entities in the County to each property owner on the assessment roll. Taxes may be paid upon receipt of such notice with discounts at the rate of four percent (4%) if paid in the month of November, three percent (3%) if paid in the month of December, two percent (2%) if paid in the month of January, and one percent (1%) if paid in the month of February. Taxes paid during the month of March are without discount. All unpaid taxes on real and tangible personal property become delinquent on April 1 of the year following the year in which taxes were assessed.

Prior to May 1 of each year, a list of delinquent personal property taxpayers is advertised. Warrants are issued directing seizure and sale of the personal


61 Continued

property of the taxpayer if the delinquent taxes are not paid before May 1. On or before June 1 of the year following the year in which taxes were assessed, tax certificates are sold on all real estate parcels with outstanding taxes. These parcels are advertised once a week for four weeks prior to the tax certificate sale.

The key dates in the property tax cycle are as follows:

Assessment date January 1 Assessment roll validated July 1 Millage Resolution approved By September 30 Beginning of fiscal year for which taxes have been levied October 1 Tax bills rendered and due November 1 Property taxes payable: Maximum discount November 30 Delinquent April 1 Tax Certificates sold May 31

Collections of County, municipal, and independent taxing district taxes and remittances are accounted for in the Tax Collector's Tax Collections Trust Fund.

G. Capital Assets: Capital assets, which include property, plant, equipment, and infrastructure assets, (see below), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined as assets with an initial, individual cost of more than $5,000 (equipment) or $25,000 (land, building and infrastructure), and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. The cost of infrastructure assets, including road, bridges, curbs and gutters, streets, sidewalks, drainage systems and lighting systems, acquired during the current fiscal year is recorded in the government wide financial statements. Prior acquisitions during the period from October 1, 1980 through September 30, 2001 are required to be reported by September 30, 2006. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. No interest was capitalized in 2002.


62

Property, plant, and equipment is depreciated using the straight line method over the following estimated useful lives:

Assets Years Buildings 40 Building improvements 40 Land improvements 20 Infrastructure 25 Vehicles/Computer equipment 6 Furniture/Office equipment 10 Heavy equipment 20

H. Budgets and Budgetary Accounting: Chapters 129 and 200, Florida Statutes, govern the County’s annual budgetary process. The total of the estimated receipts, including balances brought forward, must equal the total of the appropriations and reserves, therefore enabling a balanced budget. Pursuant to legal requirements, an annual appropriated budget is adopted by resolution subject to public hearing. Such resolution sets the budget appropriations on a fund by fund basis for the Governmental Fund Types and the Proprietary Fund Types. However, other Board approved policies, more fully discussed below, set the legal level of control at the major object level within a department. Since reporting budget to actual comparisons at the major object level would significantly increase the size of the Comprehensive Annual Financial Report, aggregation of such account classifications through revenue “source” and expenditure “function” is presented in this report. In addition, a detailed report comparing budgeted to actual expenditures is generated monthly and at year end and is made available to interested parties. The Constitutional Officers submit, at various times, to the Lake County Board of County Commissioners, and to certain divisions within the Department of Revenue, State of Florida, a proposed operating budget for the fiscal year commencing the following October 1. The tentative budget is reviewed and/or modified by the Board, after which public hearings are conducted pursuant to Section 200.065, Florida Statutes. Prior to October 1, the budget is legally enacted by approval of the Board of County Commissioners. The Department of Revenue, State of Florida, has the final authority on the operating budgets for the Tax Collector and the Property Appraiser included in the General Fund.

Budgetary information presented in this report is in a categorized format by revenue source and expenditure function which represents a higher level of summarization than the legal level of control.


63 Continued

In addition to the legal requirements discussed above, the County has adopted management control and approval guidelines for expenditures and budget amendments. Key components of these management guidelines are as follows:

(1) Transfers of budgeted amounts between major object codes of a

department within a fund must be approved by the Board if they exceed $25,000.

(2) Transfers of budgeted amounts between departments or between

funds must be approved by the Board following a public hearing. (3) No expenditure or encumbrance may occur without a sufficient

budgetary balance.

(4) All encumbered and unencumbered appropriations lapse at the close of the fiscal year. Encumbered amounts must be

re-appropriated in the next fiscal year.

For the fiscal year 2001-2002, the Board of County Commissioners adopted budgets for the following funds and fund types: All Governmental Fund types, Landfill Fund and Internal Service Funds. The original budget is adopted before final audited beginning fund balances are available, resulting in differences between the beginning fund balance for the original and the final budget presentation in the governmental funds. Except for the Landfill Fund and Fleet Maintenance Fund (Proprietary Fund Types), all budgets are prepared on a basis consistent with GAAP. The budget for these funds is prepared on an accrual basis and is in conformance with GAAP except that capital outlay expenses are budgeted for management purposes and subsequently recorded as assets as year end.

I. Deferred Charge: The deferred charge recorded in the Landfill Fund represents amounts paid for capital improvements at the solid waste disposal/resource recovery facility, owned and operated by Covanta Lake, Inc. (Covanta), as more fully described in Note 7F. The County is contractually obligated under the terms of a service agreement with Covanta to provide these improvements which will be amortized over the life of the agreement. The service agreement expires July 1, 2014. J. Accrued Benefits Payable: It is the County’s policy to permit employees to accumulate earned but unused vacation and sick pay benefits. All vacation and sick pay is accrued when incurred in the government-wide and proprietary fund financial statements.


64

K. Fund Equity: In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. L. Long-term Obligations: In the government-wide financial statements, and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net assets. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds, using the straight line method which approximates the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.

2. RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS

A. Explanation of certain differences between the Governmental Fund Balance

Sheet and the Government-Wide Statement of Net Assets: The Governmental Fund Balance Sheet includes a reconciliation between Fund Balance - Total Governmental Funds and Net Assets – Governmental Activities as reported in the government-wide statement of net assets. One element of that reconciliation explains that “Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in the funds.” The details of this $13,130,677 difference are as follows: Bonds Payable $ 8,400,000Less: Deferred Charge for Issuance Costs (74,089)Less: Issuance Discount (48,090)Capital Lease Payable 320,141Compensated Absences 4,532,715Net Adjustment $ 13,130,677


65 Continued

B. Prior Period Adjustment for certain differences between the Governmental

Fund Balance and Net Assets at September 30, 2001: Effective October 1, 2001, the County adopted the provisions of Government Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments, GASB Statement No. 37, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments: Omnibus, and GASB Statement No. 38, Certain Financial Statement Note Disclosures. These statements significantly change the financial reporting model, disclosure requirements, and reporting requirements for the government’s capital assets. Implementation of these statements resulted in certain retroactive adjustments to beginning net assets for governmental activities. The adjustments for capital assets of $124,374,972, net of $36,647,078 accumulated depreciation, long-term liabilities of $16,827,591, internal service fund assets of $7,087,958, certain revenues earned in prior periods of $320,112 and certain other adjustments of $147,212 resulted in a restatement of net assets as of September 30, 2001 of $78,455,585, increasing net assets from $87,474,034 to $165,929,619. 3. DEPOSITS AND INVESTMENTS Pooled cash accounts are maintained for each fund of the Board of County Commissioners, Sheriff, and Clerk of the Circuit Court. Each fund’s portion of this pool is displayed on the Statement of Net Assets as “Pooled Cash and Investments”. Interest earned from investments with pooled cash is allocated to each of the funds based on the fund’s daily average equity balance. Each of the Constitutional Officers, with the exception of the Supervisor of Elections, maintains various cash deposit and investment accounts. Deposits The County’s deposits consisted of interest bearing demand accounts and certificates of deposit, all of which were entirely covered by federal depository insurance or by a multiple financial institution collateral pool pursuant to the Public Depository Security Act of the State of Florida. This Act requires that the County maintain deposits only in “qualified public depositories”. All qualified public depositories must deposit with the State Treasurer eligible collateral in such amounts as required by the Act. In addition, qualified public depositories are required under the Act to assume mutual responsibility against loss caused by the default or insolvency of other qualified public depositories of the same type. Should a default or insolvency occur, the State Treasurer will implement procedures for payment of losses according to the validated claims of the County.


66

Investments The Board of County Commissioners and the Clerk of the Court are members of the Local Government Surplus Funds Trust Fund that is administered by the State Board of Administration of Florida (SBA).

The SBA is governed by Chapter 19-7 of the Florida Administrative Code which identifies the Rules of the State Board of Administration. These rules provide guidance and establish the general operating procedures for the administration of the Local Government Surplus Funds Trust Fund. Additionally, the Office of the Auditor General performs the operational audit of the activities and investments of the SBA.

The Local Government Surplus Funds Trust Fund is not a registrant with the Securities and Exchange Commission (SEC); however, its Board has adopted operating procedures consistent with the requirements for a 2a-7 fund. In accordance with these requirements, the method used to determine the participants’ shares sold and redeemed is the amortized cost method. The amortized cost method is the same method used to report investments. Amortized cost includes accrued income and is a method of calculating an investment’s value by adjusting its acquisition cost for the amortization of discount or premium over the period from purchase to maturity. Thus, the County’s account balance in the fund is its fair value. Pursuant to a resolution and execution of a joinder agreement, the County is also authorized to invest in the Florida Local Government Investment Trust (FLGIT). This fund was established in 1992 by the Florida Association of Court Clerks and the Florida Association of Counties to provide local governments with a professionally managed, longer term investment pool. The County’s investment in this fund is recorded at fair value. County funds are also placed in an overnight repurchase agreement. The repurchase agreement balance is collateralized with securities titled to the County and held by the bank. Risk Categories Three categories of risk level have been developed by the Government Accounting Standards Board (Statement No. 3) to disclose the various risks associated with the investment of public money:

1. Insured or registered, or securities held by the entity or its agent in the entity's name.

2. Uninsured and unregistered, with securities held by the counterparty's trust department or agent in the entity's name.

3. Uninsured and unregistered, with securities held by the counterparty, or by its trust department or agent but not in the


67 Continued

entity's name. (This includes the portion of the carrying amount of any underlying securities.)

Based upon the above criteria, the County's investments are classified in category 1. Investments in the SBA and FLGIT are not normally subject to risk categorization pursuant to GASB Statement No. 3. A summary of investments follows:

Total U.S. Agencies $ 18,044,385 Repurchase Agreements 1,720,581 Total Categorized Investments 19,764,966 Local Government Surplus Funds Investment Pool 64,188,431 Florida Local Government Investment Trust 2,617,076 Total Investments $ 86,570,473

A reconciliation of cash and investments as shown on the Statement of Net Assets follows:

Cash on Hand and Carrying Total Amount of Deposits $ 32,327,534 Carrying Amount of Investments 86,570,473 Total $ 118,898,007 Gov't-Wide Fiduciary Total Cash and Cash Equivalents $ 101,170,407 $ 4,953,618 $ 106,124,025 Current Restricted Cash and Cash Equivalents 120,708 504,987 625,695 Other Investments 5,497,727 31,000 5,528,727 Noncurrent Restricted Cash and Cash Equivalents 6,619,560 - 6,619,560 Total $ 113,408,402 $ 5,489,605 $ 118,898,007 4. ASSESSMENTS RECEIVABLE

Assessments receivable at September 30, 2002 consist primarily of $228,913 in secondary roads, of which $22,735 is current, $169,044 is deferred and $37,134 is past due. These assessments are reported in the County Transportation Trust Fund and are administered by the Board. Assessments to the fund become due and payable thirty days after the final assessment roll is approved by the Board. All assessments not paid within the period are paid in equal installments over a


68

seven-year period, with interest ranging from 6.5% to 12% per annum. Any assessments payable in installments may be paid at any time, together with accrued interest to date.

5. CAPITAL ASSETS A summary of governmental activities capital assets follows:

Balance BalanceOct 1, 2001 Sept 30As Restated Additions Deletions 2002

Governmental activities:Capital assets not depreciated:Land $ 5,861,097 $ 375,119 $ (879,270) $ 5,356,946 Construction work in progress 2,451,375 11,493,739 (452,628) 13,492,486 Total 8,312,472 11,868,858 (1,331,898) 18,849,432

Capital assets being depreciated:Buildings 84,112,191 1,191,182 - 85,303,373 Improvements - 332,351 - 332,351 Machinery and equipment 32,242,856 5,873,574 (1,905,286) 36,211,144 Infrastructure - 7,961,679 - 7,961,679 Total 116,355,047 15,358,786 (1,905,286) 129,808,547

Less accumulated depreciation: Buildings (18,882,975) (2,456,164) - (21,339,139) Improvements - (28,808) - (28,808) Machinery and equipment (17,928,596) (3,420,130) 1,435,337 (19,913,389) Infrastructure - (162,720) - (162,720) Total (36,811,571) (6,067,822) 1,435,337 (41,444,056) Total capital assets beingdepreciated, net 79,543,476 9,290,964 (469,949) 88,364,491 Governmental activitiescapital assets, net $ 87,855,948 $ 21,159,822 $ (1,801,847) $ 107,213,923

Effective October 1, 2001, the County adopted the provisions of GASB Statement No. 34, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments. Implementation of GASB Statement No. 34 resulted in the restatement of certain capital asset balances at October 1, 2001. The capitalization limit for machinery and equipment was increased to $5,000, resulting in a decrease of $13,747,075 of machinery and equipment from the prior year General Fixed Asset Account Group balance. Other changes were the addition of accumulated depreciation of $36,647,078 for assets not previously depreciated, addition of internal service fund assets of


69 Continued

$292,547, net of accumulated depreciation of $164,493, and certain adjustments to land, buildings and construction work in progress of $1,361,022.

Depreciation expense for governmental activities (excluding internal service funds) was charged to functions as follows:

Governmental activities: General government $ 956,373 Public safety 3,528,614 Physical environment 57,144 Transportation 760,564 Economic environment 10,175 Human services 106,128 Culture and recreation 139,011 Court-related expenditures 476,639 Total depreciation expense-governmental activities $ 6,034,648

A summary of business activities capital assets follows:

Balance BalanceOctober 1 Sept 30

2001 Additions Deletions 2002Business-type activities:Capital assets not depreciated:Land $ 2,943,586 $ - $ - $ 2,943,586 Construction work in progress 255,782 87,014 (163,167) 179,629 Total 3,199,368 87,014 (163,167) 3,123,215

Capital assets being depreciated:Buildings 2,156,720 54,945 - 2,211,665 Improvements other than buildings 6,046,996 237,205 - 6,284,201 Machinery and equipment 5,411,715 341,748 (88,219) 5,665,244 Total 13,615,431 633,898 (88,219) 14,161,110

Less accumulated depreciation for:Buildings (439,949) (85,263) - (525,212) Improvements other than buildings (4,145,808) (353,293) - (4,499,101) Machinery and equipment (3,454,855) (372,062) 66,133 (3,760,784) Total (8,040,612) (810,618) 66,133 (8,785,097) Total capital assetsbeing depreciated, net 5,574,819 (176,720) (22,086) 5,376,013 Business-type activitiescapital assets, net $ 8,774,187 $ (89,706) $ (185,253) $ 8,499,228


70

6. LONG-TERM DEBT 6(a) LAKE COUNTY, FLORIDA, BOARD OF COUNTY COMMISSIONERS SALES TAX

REFUNDING REVENUE BONDS, SERIES 1992

On January 29, 1992, the County issued $35,995,000 in bonds to advance refund $32,535,000 of outstanding 1987 Sales Tax Revenue Bonds. The bonds are payable solely from the County's share of the Local Government Infrastructure Sales Surtax levied pursuant to Florida Statutes. The final payment of $4,165,000 at an interest rate of 5.75% is due December 1, 2002.

6(b). LAKE COUNTY, FLORIDA, BOARD OF COUNTY COMMISSIONERS SALES TAX REVENUE BONDS (PARI-MUTUEL REVENUES REPLACEMENT PROGRAM, 2000

The County issued $4,400,000 in bonds to provide funds to finance the cost of acquisition, construction and equipping of certain capital improvements to be made within the County including the acquisition of land for a regional park and various walking and biking trails. The bonds are secured by a pledge of sales tax revenues received by the County as a replacement of the funds previously distributed under Chapter 550, Florida Statutes, from racetrack and jai alai fronton revenues. Bond principal payments are due in annual installments beginning October 1, 2001 continuing until October 1, 2019 with $2,390,000 in term bonds due October 1, 2030. The serial bonds bear interest at rates ranging from 4.30% to 5.30%. The term bonds bear interest at 5.50%. The annual requirements to amortize the Pari-Mutuel Revenues Replacement Bonds at September 30, 2002 are as follows: Fiscal Year Ended Principal Interest Total 2003 $ 75,000 $ 221,513 $ 296,513 2004 75,000 218,288 293,288 2005 80,000 214,987 294,987 2006 85,000 211,387 296,387 2007 90,000 207,563 297,563 2008-2112 500,000 973,584 1,473,584 2113-2017 635,000 839,874 1,474,874 2018-2022 825,000 653,855 1,478,855 2023-2027 1,075,000 372,600 1,447,600 2028-2030 795,000 119,099 914,099 Total $ 4,235,000 $ 4,032,750 $ 8,267,750


71 Continued

6(c). CAPITAL LEASES

On August 15, 1998, the Lake County Property Appraiser entered into a $351,200 lease purchase agreement for the acquisition of computer software and hardware. Principal in the amount of $320,141 and interest in the amount of $50,769 are due in 2003 for this lease. No lease payments were made during the current year or prior years as the Property Appraiser is disputing its obligation on the lease due to nonperformance on the part of the vendor. Amounts shown as due in fiscal year 2003 above include current and prior year disputed lease payments of $288,485. The cost of the equipment related to this lease purchase agreement is $351,200 and is reported and depreciated in the capital assets of the County.

6(d) CHANGES IN LONG-TERM LIABILITIES Long-term liability activity for the year ended September 30, 2002, is as follows:

AdditionsBalance and Payments Balance Due

Oct 1, 2001 Changes in and Sept 30, WithinGovt Activities As Restated Estimates Reductions 2002 One YearRevenue Bonds $ 8,105,000 $ - $ 3,940,000 $ 4,165,000 $ 4,165,000 Pari-mutuel RevenuesReplacement Bonds 4,305,000 - 70,000 4,235,000 75,000 Less Bond Discount (49,808) - (1,718) (48,090) -

Total Bonds Payable 12,360,192 - 4,008,282 8,351,910 4,240,000

Capital Leases 320,141 - - 320,141 320,141 Accrued Benefits Payable 4,188,599 2,702,543 2,315,076 4,576,066 2,131,662

Total - Govt Activities $ 16,868,932 $ 2,702,543 $ 6,323,358 $ 13,248,117 $ 6,691,803

AdditionsBalance and Balance DueOct 1, Changes in Sept 30, Within

Business Activities 2001 Estimates Payments 2002 One Year

Line of Credit $ 13,000,000 $ - $ 2,000,000 $ 11,000,000 $ 1,000,000 Accrued Benefits Payable 115,074 29,687 47,606 97,155 47,606

Total - Bus Activities $ 13,115,074 $ 29,687 $ 2,000,000 $ 11,097,155 $ 1,047,606


72

Internal service funds predominantly serve the governmental funds. Accordingly, long-term liabilities for them are included as part of the above totals for governmental activities. At year end $43,351 of internal service funds compensated absences are included in the above amounts. Also, for the governmental activities, compensated absences are generally liquidated by the general fund. The government-wide statements of net assets for business type activities include $120,708 for the current portion and $4,918,298 for the long-term portion of closing and long term care costs. 7. COMMITMENTS AND CONTINGENCIES A. Various suits and claims, arising in the ordinary course of County operations,are pending against the County. The ultimate effect of such litigation cannot be ascertained at this time. It is the opinion of management and the County’s legal counsel that the liabilities which may arise from such action would not result in losses which would materially affect the financial position of the County or the changes in its financial position.

B. Pursuant to County Ordinance Section 17, passed in 1985, road impact fees are collected by the County based on the transportation impact of new development. Fees and expenditures are segregated by six districts. Any funds not expended or encumbered by the end of the calendar quarter immediately following six (6) years from the date the road impact fee was paid, shall, upon application of the feepayer, be returned to him with interest at the rate of six (6) percent per annum. This six year period may be extended for up to an additional three (3) years by action of the Board.

The following is a summary of impact fees which may be subject to refunds within the time limitations:

Year District District District District District District Deadline 1 2 3 4 5 6 9/30/2003 - - - - - - 9/30/2004 - - - - - - 9/30/2005 - - - 64,630 - - 9/30/2006 - - 1,480,293 402,891 1,650,237 - 9/30/2007 95,763 - 1,886,636 338,237 4,901,140 898,278 9/30/2008 186,174 1,880,576 1,868,466 590,085 5,042,142 992,087


73 Continued

C. Pursuant to County Ordinance Section 15.04, passed in l996, fire services impact fees are collected by the Board to accommodate new development without decreasing the current level of fire services. Any funds not expended or encumbered by the end of the calendar quarter immediately following six (6) years from the date the fire services impact fee monies were paid shall be returned to the landowner without interest, provided an application for refund is presented within one hundred eighty days (180) from the expiration of the six year period. This six (6) year period may be extended by action of the Board for up to additional three (3) years. The amount of fire services impact fees which may be subject to refund is $262,982 and $254,835 by the years ended September 30, 2007 and 2008, respectively.

D. Sick Leave Commitments - Sick leave is accumulated at the rate of one day per month of each full month of continuous employment. There is no limit on the amount of sick leave that can be accumulated. No sick leave benefits of any kind are currently granted upon termination for employees of the Property Appraiser and the Tax Collector. As more fully described in Note 9B, the Board, the Clerk, and the Supervisor of Elections contribute up to 960 hours (50% of 1,920 accumulated sick hours) into the Post Employment Health Plan (PEHP) for eligible employees upon termination, retirement or death.

Effective October 1, 2000, the Sheriff allowed for accumulation of sick leave and cash benefit upon termination based upon the employee’s current wage rate and sick leave not used. E. Risk Management - The County is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. Effective October 1, 1985, the Board of County Commissioners elected to self-insure its general liability. In addition, effective October 1, 1989, the County elected to self-insure its automobile, workers’ compensation and property liabilities. Effective October 1, 1999 the County elected to self-insure its medical coverage. The County established an Insurance Fund (an internal service fund) to account for its uninsured risks of loss. Under this program, the Insurance Fund provides coverage for up to a maximum of $100,000 per occurrence for each property claim, $50,000 for each general liability or workers' compensation claim, and $75,000 for each medical claim. The County purchases commercial insurance for claims in excess of coverage provided by the Fund. Effective January 1, 1994, the Clerk began to self-insure its medical coverage. The Clerk established an Insurance Fund to account for its uninsured risks of


74

loss. Specific stop loss reinsurance has been obtained for all medical claims exceeding $50,000 per individual per year. Each participating entity of the County and Clerk makes payments to the Insurance Fund based on actuarial estimates as well as historical data for the amounts needed to pay prior and current year claims. The latest actuarial estimate, based on industry standards, relates to the fiscal year ended September 30, 2002.

Claims expenses and liabilities are reported when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated. These losses include an estimate of claims that have been incurred but not reported ($795,000 for general liability, $641,000 for County medical and $245,540 for Clerk medical). Changes in the reported liability since October 1, 2000 resulted from the following:

Liability Current Year Balance Claims and Liability Beginning of Changes in Claims Balance End Year Estimates Payments of Year 2000-2001 County: General Liability $ 696,000 $ 770,235 $ (732,235) $ 734,000 County: Health 515,000 2,614,725 (2,555,725) 574,000 Clerk: Health 316,957 641,947 (819,437) 139,467 Total $ 1,527,957 $ 4,026,907 $ (4,107,397) $ 1,447,467

2001-2002 County: General Liability $ 734,000 $ 1,214,463 $ (1,153,463) $ 795,000 County: Health 574,000 3,152,263 (3,085,263) 641,000 Clerk: Health 139,467 1,122,728 (1,016,655) 245,540 Total $ 1,447,467 $ 5,489,454 $ (5,255,381) $ 1,681,540

All other coverages continue to be insured through commercial carriers and no settlements in excess of claims have been incurred during Fiscal 2000, 2001 or 2002.


75 Continued

F. During 1989, the County issued $70,000,000 in Adjustable Tender (Series 1988A) and $9,000,000 in Taxable Mandatory Tender Obligation (Series 1988B) Resource Recovery Industrial Development Revenue Bonds to finance the construction of a solid waste disposal/resource recovery facility to be located in the County and to be owned and operated by NRG/Recovery Group, Inc. Pursuant to a loan agreement between the County and NRG, NRG has agreed to pay from the sources identified therein the amount necessary to pay the principal, redemption premium, if any, and interest on the bonds when due. The loan agreement thus creates a security interest in, among other receipts, the service fees generated from the County to NRG pursuant to a Service Agreement to operate the facility. The facility was mortgaged to the County to secure the Loan Agreement.

The bonds were issued pursuant to the Florida Industrial Development Financing Act and do not constitute or create in any manner a debt, liability, or obligation of, or a pledge of the faith and credit of Lake County. The County, through a Service Agreement, covenants to fix, charge, and collect tipping fees, special assessments, and/or any other available funds, excluding ad valorem revenues, sufficient to pay a service fee which includes the operating and debt service costs of the facility. The facility was constructed and is owned and operated by NRG under the terms of the Service Agreement. This Service Agreement also requires that the County deliver to the facility a guaranteed annual tonnage of 130,000 tons of processible waste. The County has obtained interlocal agreements with various municipalities in the County in order to meet this requirement. NRG/Recovery Group, Inc. is a wholly owned subsidiary of Ogden Martin Systems, Inc. which, in turn, is a wholly owned subsidiary of Ogden Projects, Inc. Ogden Projects, Inc. is owned substantially by Ogden Corporation. On March 14, 2001, Ogden Corporation changed its name to Covanta Energy Corporation.

On October 14, 1993, the County issued $69,615,000 in Series 1993A Tax Exempt and $7,935,000 in Series 1993B Taxable Resource Recovery Industrial Development Refunding Revenue Bonds to refund the outstanding bonds mentioned above. Upon the issuance of the refunding bonds, the County received draws on letters of credit relating to the 1988 Series A and B bonds, which were deposited into separate escrow deposit accounts. The escrow agent used these funds to redeem the refunded bonds on November 4, 1993. Proceeds of the Series 1993 Bonds, together with other available funds, were used to reimburse the bank for the amounts drawn on the letters of credit.


76

8. CONDUIT DEBT From time to time, the County has issued Industrial Revenue Bonds to provide financial assistance to private-sector entities for the acquisition and construction of industrial and commercial facilities deemed to be in the public interest. The bonds are secured by the property financed and are payable solely from payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to the private-sector entity served by the bond issuance. Neither the County, the State of Florida, nor any political subdivision thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements. As of September 30, 2002, there were thirteen series of Industrial Revenue Bonds outstanding. The principal amount payable for the 1993A Tax Exempt Resource Recovery Industrial Development Refunding Revenue Bonds (more fully discussed in Note 7F) is $65,840,000. The aggregate principal amount for the remaining eleven series issued in prior years, and two issued during 2002 could not be determined; however, their original issue amounts totaled $30,225,000.

9. PENSION PLANS

A. Florida Retirement System – Defined Benefit Plan Substantially all County full-time employees participate in the State of Florida Retirement System (“System”), a cost sharing multiple-employer public employee retirement system (PERS). The System is a defined benefit plan for all state, county, district school board, community college and university employees, and is controlled by the State Legislature and administered by the State of Florida, Department of Administration, Division of Retirement. The System provides for vesting of benefits after 6 years of creditable service. Normal retirement benefits are available to employees who retire at or after age 62 with 6 years or more of service. Early retirement is available after 6 years of service with a 5% reduction of benefits for each year prior to the normal retirement age. Retirement benefits are based upon age, average compensation and years-of-service credit, where average compensation is computed based on an individual’s five highest years of earnings. Benefits also include a post-retirement health insurance subsidy as well as disability and survivor’s benefits, as established by Florida Statutes. Participating employer contributions are based upon actuarially determined State-wide rates established by the State of Florida, that expressed as percentages of


77 Continued

annual covered payroll, are adequate to accumulate sufficient assets to pay benefits when due. These employer contribution rates are applied to employee salaries as follows:

July 1, 2001 July 1, 2002 Employer's Employer's Contribution Contribution Membership Category Rate Rate Regular 7.30% 5.76% Special risk(Fire and Police) 18.44% 16.01% Senior Management 9.28% 6.06% Elected State Officer (Includes County Officials) 15.14% 11.86%

The County's contribution to the plan for the years ended September 30, 2002, 2001, and 2000 was $5,735,778, $6,047,009, and $5,896,206, respectively, equal to the required contributions for each year. There are no employee contributions to the plan. Members may participate in a Deferred Retirement Option Plan (DROP), after reaching eligibility for normal retirement or through the available deferral period for eligible members. This plan allows employees to defer receipt of retirement benefits while continuing employment for a System employer for a period up to sixty months. Accumulated system benefits earn 6.5% interest compounded monthly. The employer continues to contribute to the System on behalf of the employee at a rate of 9.11% of salary.

The Florida Retirement System issues a publicly available financial report that includes financial statements and required supplementary information for the plan. That report may be obtained by writing to Division of Retirement, 2639 North Monroe Street, Building C, Tallahassee, Florida 32399-1560 or by calling 850-488-5706.

B. Post Employment Health Plan

In addition to the retirement plan described above, the Board, the Clerk and the Supervisor provide post employment health care benefits under a plan established through Nationwide Retirement Solutions, Inc. (Nationwide). Each contributes 1% of annual salary for all employees with more than one year of service to a trust administered by Nationwide. Twenty-five percent of accrued sick pay for employees with less than 10 years of service and 50% for employees with ten years or more of service, is paid into the trust upon termination, retirement or death. The maximum contribution is limited to 960 hours (50% of 1,920 accumulated sick hours). Contributions are invested according to instructions given by the employee and earnings accumulate tax exempt under section 501(c)(9) of the Internal Revenue Code. Upon separation of service, the


78

account can be used to reimburse any qualified health insurance premiums paid by the employee. 10. INTERFUND BALANCES AND TRANSFERS Interfund receivables and payables generally represent temporary loans between funds to cover operating expenditures. All balances are expected to be repaid within one year. Interfund transfers generally represent permanent transfers of funds for administrative costs paid to the General Fund, and for debt service payments and capital outlay. The composition of interfund balances in the governmental fund financial statements as of September 30, 2002 is as follows:

Due to/from Other Funds: Due to General Fund from Nonmajor Governmental Funds $ 261,818 Total $ 261,818

Intragovernmental receivables and payables: Receivable Fund Payable Fund Amount General Fund Sales Tax Capital Projects $ 26,756 General Fund Nonmajor Govt Funds 18,864 General Fund Agency Funds 412,117 Nonmajor Govt Funds Agency Funds 89,375 Nonmajor Govt Funds General Fund 415,887 Landfill Enterprise Fund Agency Funds 21,586 Internal Service Funds General Fund 8,022 Total $ 992,607


79 Continued

Interfund transfers for the year ended September 30, 2002 consist of the following:

Transfers In:Sales Tax

General Capital Projects Non Major Transfer out: Fund Fund Funds Total

General Fund $ - $ - $ 5,829,832 $ 5,829,832 Road Impact Fees Fund 467,782 - - 467,782 County Sales Tax Fund 1,099,280 8,159,640 4,290,300 13,549,220 Nonmajor Govt Funds 2,977,834 - 2,977,834 Internal Service Funds 215,769 - - 215,769 Landfill Fund 1,064,943 - - 1,064,943 Total $ 5,825,608 $ 8,159,640 $ 10,120,132 24,105,380

Transfers out (23,421,776) Net Transfers In $ 683,604

Transfers in exceed transfers out for transfers made to and from the Landfill Enterprise Fund and the Internal Service Funds as follows:

Landfill Fund transfer out to General Fund $ (1,064,943)Insurance Fund transfer out to General Fund (215,769)Insurance Fund transfer in from General Fund 450,000Fleet Maintenance Fund transfer in from Nonmajor Funds 147,108Total Net Transfers Out $ (683,604)

11. DEFICIT FUND BALANCE

The County’s Special Revenue Fund – Mosquito Management – reported a fund balance deficit of $16,425 at September 30, 2002.The deficit will be offset in 2003 by a transfer from other funds.

12. LANDFILL CLOSURE AND POSTCLOSURE COSTS

The County is required by federal and state laws and regulations to place a final cover over its existing landfills, after they stop accepting waste, and perform certain maintenance and monitoring functions for a period of 5 to 30 years after closure. In addition, new landfills must be constructed in accordance with federal and state requirements.

The County has estimated the closure and long-term care costs for each landfill and recorded a liability in the Landfill Enterprise Fund.


80

The following schedule reflects the changes in estimates and payments for the year ended September 30, 2002:

Additions Balance and Balance October 1, Changes in September 30,

LANDFILL 2001 Estimates Payments 2002

Construction and Demolition $ 111,443 $ 2,230 $ - $ 113,673

Loghouse 246,564 3,609 19,635 230,538

Umatilla 442,092 6,363 29,725 418,730

Lady Lake 637,336 10,465 31,931 615,870

Astatula I 838,690 14,104 52,994 799,800

Astatula Ash Monofill 1,488,871 67,367 38,374 1,517,864

Astatula Phase IIB 1,253,854 90,167 1,490 1,342,531

Totals $ 5,018,850 $ 194,305 $ 174,149 $ 5,039,006

Although closure and postclosure care costs will be paid only near or after the date that each landfill stops accepting waste, the County reports a portion of these closure and postclosure care costs as an operating expense each year based on landfill capacity used as of each balance sheet date. At September 30, 2002 the Loghouse, Umatilla, Lady Lake and Astatula I landfills had no remaining capacity. The following schedule reflects the estimated closure and postclosure care costs for each landfill as of September 30, 2002.

Remaining Postclosure Closure Postclosure Total

Landfill Care Period Costs Care Liability

Construction and Demolition 5 years $ 76,055 $ 37,618 $ 113,673

Loghouse 11 years - 230,538 230,538

Umatilla 13 years - 418,730 418,730

Lady Lake 18 years - 615,870 615,870

Astatula I 24 years - 799,800 799,800


81 Continued

Astatula Ash Monofill 30 years 716,932 800,932 1,517,864

Astatula Phase IIB 30 years 598,164 744,367 1,342,531

Totals $ 1,391,151 $ 3,647,855 $ 5,039,006 The estimated closure and postclosure care costs remaining to be recognized for the landfills, which are still accepting waste, are as follows: Closing LongTerm Capacity

Remainder to Recognize Costs Care Total Used

Astatula Ash Monofill $ 22,860 $ 25,538 $ 48,398 97%

Astatula Phase IIB 153,502 191,003 344,505 80%

Construction and Demolition 35,790 17,702 53,492 68%

Totals $ 212,152 $ 234,243 $ 446,395 These amounts are based on what it would cost the County to perform all closure and postclosure care in 2002. Actual costs may be higher due to inflation, changes in technology or changes in regulations. Restricted cash and investments on the Statement of Net Assets of the Landfill Enterprise Fund includes $6,740,268 for the payment of long term care, closing costs and future landfill construction.

As more fully discussed in Note 13, the County has entered into a line of credit agreement with a bank for the financing of these projects. At September 30, 2002, $172,338 of these proceeds were classified as restricted cash and investments on the Statement of Net Assets of the Landfill Enterprise Fund.

13. LANDFILL ENTERPRISE FUND LINE OF CREDIT

On December 21, 1993, the County entered into a $19 million bank line of credit agreement, which expired December 31, 1998, to finance the acquisition, construction and equipping of certain capital improvements to the County's solid waste system. At the same time, an initial draw of $10 million was executed as evidenced by a note agreement. A second draw of $9 million was made January 18, 1995. The repayment terms for the notes are interest payable semiannually on April 1 and October 1 of each year, with the principal due in full at maturity on December 31, 1998. The principal may be repaid at any time. The interest rate is adjusted every 90 days based upon the 90 day London Interbank Offered Rate


82

(LIBOR) and ranged from 1.63% to 2.79% during 2002. The note is secured by the net revenues of the system, sales tax revenues (junior lien to the Sales Tax Refunding Revenue Bonds pledge), proceeds of the notes, and proceeds of debt issued by the County to refund the notes. The amount outstanding at September 30, 2002 was $11,000,000 and interest expense paid during the year was $227,168. No interest was capitalized during the year. On December 31, 2000 the line of credit agreement was extended until December 31, 2002 at essentially the same terms.

14. SUBSEQUENT EVENTS

On November 20, 2002 the County refinanced the $10 million Solid Waste Line of Credit Note discussed in Note 13 above for a ten year period at a fixed interest rate of 3.69%. Principal payments of $1 million are payable annually in December and interest is payable semiannually in June and December. The bonds are secured by solid waste system net revenues and a covenant by the County to budget and appropriate a sufficient amount to pay the debt service when due. The remaining balance of $1 million on the $9 million note was paid in full subsequent to year end.

NONMAJOR GOVERNMENTAL FUNDS

SPECIAL REVENUE FUNDS

COUNTY TRANSPORTATION TRUST FUND

To account for revenues and expenditures incurred to carry on all work on roads and bridges in the County in accordance with Section 336.022, Florida Statutes. CHRISTOPHER C. FORD COMMERCE PARK FUND To account for revenues (land sales and interest earned) and expenditures during the development of this county-owned property. The Lake County Industrial Development Authority is participating in oversight responsibilities pursuant to Chapter 159, Part III, Florida Statutes.

MOSQUITO MANAGEMENT FUND

To account for State Grants and local matching funds in accordance with Chapter

388, Florida Statutes and for the operation of the arthropod control program.

LAW LIBRARY FUND

To record the activity of the Lake County Law Library established by County Ordinance72-7, effective January 1, 1973. AQUATIC PLANT MANAGEMENT FUND To account for state grants and local funding for the operations of the Aquatic Weed Control Program in accordance with Chapter 369, Part II, Florida Statutes.

FISH CONSERVATION TRUST FUND To account for the revenues and expenditures for fish stocking and conservation in accordance with Chapter 67-1604, Laws of Florida.

COMMUNITY DEVELOPMENT FUND

To account for the revenues and expenditures in accordance with the Community Development Block Grant from the U.S. Department of Housing and Urban Development, under Title I of the Housing and Community Development Act.

PUBLIC TRANSPORTATION FUND To account for the activities of the County as Community Transportation Coordinator, responsible for ensuring that coordinated transportation services are provided to the transportation disadvantaged residents of Lake county in accordance with Chapter 427, Florida Statutes. LAKE COUNTY AMBULANCE FUND To account for ad valorem tax revenues and disbursements to the North Lake Ambulance Special District in accordance with Chapters 67-1609; 78-543; 65-1785, Laws of Florida.

STORMWATER MANAGEMENT FUND To account for ad valorem tax revenues and disbursements of the Stormwater Management Municipal Services Taxing Unit established by County Ordinance 1990-25, in accordance with Sections 125.0101 and 197.3632, Florida Statutes.

EMERGENCY 9-1-1 FUND To account for revenues and expenditures for Emergency 9-1-1 telephone services in accordance with Section 365.171, Florida Statutes.

RESORT/DEVELOPMENT TAX FUND To account for revenues and expenditures of the Tourist Development Tax in accordance with Section 125.0104, Florida Statutes and County Ordinance 1984-7. A majority vote of the qualified electors of the County approved this local option tax November 6, 1984.

AFFORDABLE HOUSING ASSISTANCE TRUST FUND To account for revenues received from the State Housing Initiative Partnership Program pursuant to Sections 420.9072 - 420.9079, Florida Statutes. SECTION 8 FUND To account for revenues and expenditures for housing assistance to qualified persons in accordance with a grant from the U.S. Department of Housing and Urban Development.

MUNICIPAL SERVICE BENEFIT UNITS/ SPECIAL ASSESSMENTS FUND To account for the financing of public improvements and services deemed to benefit the properties against which special assessments are levied in accordance with Sections 125.0101 and 197.3632, Florida Statutes. LAW ENFORCEMENT TRUST FUND To account for the proceeds from the sale of confiscated property in accordance with Section 932.7055, Florida Statutes. CRIMINAL JUSTICE TRUST FUND To account for revenues and expenditures incurred in providing state attorney and public defender services pursuant to Section 27.3455, Florida Statutes. The revenues are from additional amounts assessed on fines, penalties and court costs.

POLLUTION RECOVERY FUND To account for revenues collected as civil penalties and through enforcement actions against violators of Chapters 6 and 9, Land Development Regulations. Monies obtained are to be used to restore the polluted area that was the subject of the violation to its former condition, enhance pollution control activities in Lake County, or purchase pollution control equipment for Lake County in accordance with Chapter 93-344, Laws of Florida.

CODE ENFORCEMENT LIENS FUND

To account for revenues collected for administrative fines and other noncriminal penalties imposed for the pending or repeated violation of a county ordinance. These revenues are used for the cleanup of county property acquired through code enforcement liens.

BUILDING SERVICES FUND To account for revenues collected and expenditures for permitting, inspections and plans review for the building services of the County. LAKE COUNTY MUNICIPAL TAXING UNIT FOR FIRE PROTECTION FUND To account for the revenues and expenditures for county-wide consolidated fire protection. County Ordinance 1990-29 created this Municipal Taxing Unit. FIRE SERVICES IMPACT FEE TRUST FUND To account for revenues and expenditures for fire services impact fees collected pursuant to County Ordinance 1996-34.

COUNTY-WIDE LIBRARY TRUST FUND To account for the State, Local and County revenues and expenditures received and disbursed on behalf of the County-Wide Library system.

ANIMAL SHELTER TRUST FUND

To account for the receipt and disbursement of contributions to the County=s Animal Shelter.

EMPLOYEE BENEFIT FUND

To account for the collection of commissions received from vending machine sales in County buildings.

RECORDS MODERNIZATION TRUST FUND

To account for revenues collected by the Clerk of the Circuit Court for each instrument recorded in the official records of the County and to report expenditures for the modernization of the public records system pursuant to Section 28.24, Florida Statutes.

SHERIFF'S SPECIAL REVENUE FUNDS To account for revenues and expenditures of various Special Revenue projects of the Lake County Sheriff's Office, including marine patrol services provided to the Oklawaha Basin Recreation and Water Conservation and Control Authority, school crossing guard services, and drug awareness and prevention programs, and to account for the operations of the Commissary operated for the benefit of County jail inmates.

DEBT SERVICE FUNDS

SALES TAX BOND DEBT SERVICE FUND To accumulate monies for payment of the $35,995,000 Sales Tax Refunding Revenue Bonds, Series 1992. Financing is provided by the one-cent infrastructure sales surtax collected pursuant to Chapter 212, Part 1, Florida Statutes. PARI-MUTUEL REVENUES BOND DEBT SERVICE FUND To accumulate monies for payment of the $4,400,000 Pari-Mutuel Revenues Replacement Bonds, Series 2000. Financing is provided by sales tax revenues collected by the State pursuant to Chapter 212, Part 1, Florida Statutes. Beginning July 1, 2000, the State began using sales tax revenues to replace revenues formerly distributed to counties from racetrack and jai alai fronton monies.

CAPITAL PROJECTS FUND

PARKS CAPITAL PROJECTS FUND To account for construction of various parks throughout Lake County.

LAKE COUNTY, FLORIDACOMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDSSeptember 30, 2002

Special Revenue Funds

County Christopher C.Transportation Ford Mosquito

Assets Trust Commerce Park Management

Cash $ 300 $ - $ - Pooled Cash and Investments 4,915,963 987,902 - Other Investments - - - Accounts Receivable 4,690 69,335 - Assessments Receivable 228,913 - - Intragovernmental Receivables 10 - - Due from Other Governments 798,876 - - Inventories 380,772 - 54,998 Prepaid Expenditures - - -

Total Assets $ 6,329,524 $ 1,057,237 $ 54,998


Liabilities: Accounts Payable $ 565,409 $ 1,530 $ 31,454 Retainage Payable 99,836 - - Accrued Liabilities 102,905 - 12,575 Due to Other Funds - - 27,394 Intragovernmental Payables - - - Due to Other Governments - - - Deferred Revenue 228,913 - - Deposits 2,329 - -

Total Liabilities 999,392 1,530 71,423

Fund Balances Reserved for Encumbrances 778,153 8,553 - Reserved for Inventories 380,771 - 54,998 Reserved for Prepaid Expenditures - - - Reserved for Law Enforcement - - - Reserved for Debt Service - - - Reserved for Capital Projects - - - Unreserved - Undesignated (Deficit) 4,171,208 1,047,154 (71,423)

Total Fund Balances (Deficit) 5,330,132 1,055,707 (16,425)

Total Liabilities and Fund Balances (Deficit) $ 6,329,524 $ 1,057,237 $ 54,998

88

Special Revenue Funds, continued

Law Aquatic Fish LakeLibrary Plant Conservation Community Public CountyFund Management Trust Development Transportation Ambulance

$ - $ - $ - $ - $ - $ - 72,960 18,275 97,328 - 74,140 1,423,922

- - - - - - - - - - 40,390 - - - - - - -

14,872 - 376 - - 36,992 - 31,281 38 115,085 100,164 - - 23,770 - - - - - - - - - -

$ 87,832 $ 73,326 $ 97,742 $ 115,085 $ 214,694 $ 1,460,914

$ 6,276 $ 1,890 $ - $ 64,828 $ 83,921 $ - - - - - - - - 3,882 - 2,323 1,759 - - - - 47,934 - -

8,360 - - - - - - - - - - - - - - - - -

2,492 - - - - -

17,128 5,772 - 115,085 85,680 -

- - - 12,880 227,722 - - 23,770 - - - - - - - - - - - - - - - - - - - - - - - - - - - -

70,704 43,784 97,742 (12,880) (98,708) 1,460,914

70,704 67,554 97,742 - 129,014 1,460,914

$ 87,832 $ 73,326 $ 97,742 $ 115,085 $ 214,694 $ 1,460,914

Continued

89


NONMAJOR GOVERNMENTAL FUNDS (Continued)September 30, 2002


Resort/Stormwater Emergency Development

Assets Management 9-1-1 Tax

Cash $ - $ - $ 200 Pooled Cash and Investments 1,845,766 1,287,345 654,641 Other Investments - - - Accounts Receivable - 68,457 45 Assessments Receivable - - - Intragovernmental Receivables 1,684 - 46,484 Due from Other Governments 4,506 38,434 - Inventories - - - Prepaid Expenditures - - -

Total Assets $ 1,851,956 $ 1,394,236 $ 701,370


Liabilities: Accounts Payable $ 4,881 $ 17,100 $ 159,360 Retainage Payable - - - Accrued Liabilities 1,969 6,492 3,699 Due to Other Funds - - - Intragovernmental Payables - - - Due to Other Governments - - - Deferred Revenue - - - Deposits - - -

Total Liabilities 6,850 23,592 163,059

Fund Balances Reserved for Encumbrances 196,883 - 2,145 Reserved for Inventories - - - Reserved for Prepaid Expenditures - - - Reserved for Law Enforcement - - - Reserved for Debt Service - - - Reserved for Capital Projects - - - Unreserved - Undesignated (Deficit) 1,648,223 1,370,644 536,166

Total Fund Balances (Deficit) 1,845,106 1,370,644 538,311


90


Affordable Housing Municipal Service Law CriminalAssistance Benefit Units/ Enforcement Justice Pollution

Trust Section 8 Special Assessments Trust Trust Recovery

$ - $ - $ - $ - $ - $ - 1,277,117 374,909 324,078 29,790 - 48,565

- - - - - - - 388 - - - - - - - - - - - - 364 5,649 - -

200,382 - - - - - - - - - - - - - - - - -

$ 1,477,499 $ 375,297 $ 324,442 $ 35,439 $ - $ 48,565

$ 143,596 $ 29,914 $ 34,392 $ - $ - $ - - - - - - -

2,836 4,691 - - - - - - - - - - - - - 6,814 - - - 716 - - - - - - - - - - - - - - - -

146,432 35,321 34,392 6,814 - -

- - 5,622 - - 818 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

1,331,067 339,976 284,428 28,625 - 47,747

1,331,067 339,976 290,050 28,625 - 48,565

$ 1,477,499 $ 375,297 $ 324,442 $ 35,439 $ - $ 48,565

Continued

91




Code Lake County MTUEnforcement Building for Fire

Assets Liens Services Protection

Cash $ - $ 550 $ - Pooled Cash and Investments 89,166 658,082 4,704,963 Other Investments - - - Accounts Receivable - - 3,003 Assessments Receivable - - - Intragovernmental Receivables - - 21,344 Due from Other Governments - - 10,864 Inventories - - - Prepaid Expenditures - - -

Total Assets $ 89,166 $ 658,632 $ 4,740,174


Liabilities: Accounts Payable $ - $ 16,071 $ 315,992 Retainage Payable - - 48,354 Accrued Liabilities - 59,667 130,816 Due to Other Funds - - - Intragovernmental Payables - - - Due to Other Governments - - - Deferred Revenue - - - Deposits - - -

Total Liabilities - 75,738 495,162

Fund Balances Reserved for Encumbrances - - 351,287 Reserved for Inventories - - - Reserved for Prepaid Expenditures - - - Reserved for Law Enforcement - - - Reserved for Debt Service - - - Reserved for Capital Projects - - - Unreserved - Undesignated (Deficit) 89,166 582,894 3,893,725

Total Fund Balances (Deficit) 89,166 582,894 4,245,012

Total Liabilities and Fund Balances (Deficit) $ 89,166 $ 658,632 $ 4,740,174

92

Special Revenue Funds, continuedClerk Sheriff

Fire Services County-Wide Animal Records SpecialImpact Fee Library Shelter Employee Modernization Revenue

Trust Trust Trust Benefit Trust Funds

$ - $ 603 $ - $ - $ - $ - 749,522 635,050 74,126 5,196 497,315 -

- - - - - - - - - - - - - - - - - - - - - - - 377,487

6,753 25,092 231,936 - - - - - - - 8,400 - - - -

$ 756,275 $ 644,053 $ 74,126 $ 5,196 $ 522,407 $ 609,423

$ 46 $ 14,825 $ - $ - $ - $ 259,113 - - - - - - - 33,666 - - - 3,081 - - - - - 186,490 - - - - - 3,690 - - - - - 2,334 - - - - - - - - - - - -

46 48,491 - - - 454,708

476,775 54,340 - - - - - - - - - - - 8,400 - - - - - - - - - 154,715 - - - - - - - - - - - -

279,454 532,822 74,126 5,196 522,407 -

756,229 595,562 74,126 5,196 522,407 154,715

$ 756,275 $ 644,053 $ 74,126 $ 5,196 $ 522,407 $ 609,423

Continued

93



Debt Service Funds Capital Projects FundPari-Mutuel

Sales Tax Revenues ParksBond Bond Debt Capital

Assets Debt Service Service Projects

Cash $ - $ - $ - Pooled Cash and Investments 3,585,188 181,909 408,023 Other Investments - 3,723,622 - Accounts Receivable - - - Assessments Receivable - - - Intragovernmental Receivables - - - Due from Other Governments - - - Inventories - - - Prepaid Expenditures - - -

Total Assets $ 3,585,188 $ 3,905,531 $ 408,023


Liabilities: Accounts Payable $ - $ - $ 185,126 Retainage Payable - - - Accrued Liabilities - - - Due to Other Funds - - - Intragovernmental Payables - - - Due to Other Governments - - - Deferred Revenue - - - Deposits - - -

Total Liabilities - - 185,126

Fund Balances Reserved for Encumbrances - - 7,102 Reserved for Inventories - - - Reserved for Prepaid Expenditures - - - Reserved for Law Enforcement - - - Reserved for Debt Service 3,585,188 3,905,531 - Reserved for Capital Projects - - 215,795 Unreserved - Undesignated (Deficit) - - -

Total Fund Balances (Deficit) 3,585,188 3,905,531 222,897


94

TotalNonmajor

Governmental Funds

$ 1,653 25,021,241 3,723,622

186,308 228,913 505,262

1,563,411 459,540

8,400

$ 31,698,350

$ 1,935,724 148,190 370,361 261,818 18,864 3,050

228,913 4,821

2,971,741

2,122,280 459,539

8,400 154,715

7,490,719 215,795

18,275,161

28,726,609

$ 31,698,350

95

LAKE COUNTY, FLORIDACOMBINING STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES (DEFICIT) NONMAJOR GOVERNMENTAL FUNDSFor the Year Ended September 30, 2002

Special Revenue Funds

County Christopher C.Transportation Ford Mosquito

Trust Commerce Park Management

Revenues Taxes $ 5,692,284 $ - $ - Licenses and Permits - - - Intergovernmental 5,600,758 - 34,785 Charges for Services 332,739 - - Fines and Forfeitures - - - Special Assessments 105,550 - - Investment Income 108,103 27,909 1,128 Miscellaneous 218,389 452,483 - Total Revenues 12,057,823 480,392 35,913

Expenditures Current: General Government - - - Public Safety - - - Physical Environment - - - Transportation 9,972,971 - - Economic Environment - 42,597 - Human Services - - 739,651 Culture and Recreation - - - Court-Related Expenditures - - - Debt Service: Principal - - - Interest and Fiscal Charges - - - Capital Outlay - - - Total Expenditures 9,972,971 42,597 739,651

Excess of Revenues Over (Under) Expenditures 2,084,852 437,795 (703,738)

Other Financing Sources (Uses) Operating Transfers In - - 523,982 Operating Transfers Out (758,084) (82,750) - Total Other Financing Sources (Uses) (758,084) (82,750) 523,982

Net Change in Fund Balances (Deficit) 1,326,768 355,045 (179,756)

Fund Balance (Deficit) at Beginning of Year 3,881,003 700,662 199,361 Inventory Reserve Increase (Decrease) 122,361 - (36,030)

Fund Balance (Deficit) at End of Year $ 5,330,132 $ 1,055,707 $ (16,425)

96


Law Aquatic Fish Public LakeLibrary Plant Conservation Community Transportation CountyFund Management Trust Development Fund Ambulance

$ - $ - $ - $ - $ - $ 4,322,959 - - 14,009 - - - - 85,091 - 935,532 495,404 -

174,588 - - - 265,203 - - - - - - - - - - - - -

1,475 186 3,035 - 474 62,624 32,200 425 - - 17,165 -

208,263 85,702 17,044 935,532 778,246 4,385,583

- - - - - 62,494 - - - - - 5,023,695 - 241,880 - - - - - - - - 1,119,876 - - - - 767,661 - - - - - 140,000 - - - - - - - -

169,475 - - - - -

- - - - - - - - - - - - - - - - - -

169,475 241,880 - 907,661 1,119,876 5,086,189

38,788 (156,178) 17,044 27,871 (341,630) (700,606)

- 217,274 - - 486,513 32,673 (8,275) - (31,100) (27,871) (8,914) (136,686) (8,275) 217,274 (31,100) (27,871) 477,599 (104,013)

30,513 61,096 (14,056) - 135,969 (804,619)

40,191 7,552 111,798 - (6,955) 2,265,533 - (1,094) - - - -

$ 70,704 $ 67,554 $ 97,742 $ - $ 129,014 $ 1,460,914

Continued

97


CHANGES IN FUND BALANCES (DEFICIT) NONMAJOR GOVERNMENTAL FUNDS (Continued)



Resort/Stormwater Emergency Development

Management 9-1-1 Tax

Revenues Taxes $ 1,417,250 $ - $ 679,056 Licenses and Permits - - - Intergovernmental 38,585 - 3,500 Charges for Services - 1,063,662 886 Fines and Forfeitures - - - Special Assessments - - - Investment Income 55,252 36,243 21,723 Miscellaneous - - 8 Total Revenues 1,511,087 1,099,905 705,173

Expenditures Current: General Government - - - Public Safety - 782,787 - Physical Environment 747,446 - - Transportation - - - Economic Environment - - 857,462 Human Services - - - Culture and Recreation - - - Court-Related Expenditures - - - Debt Service: Principal - - - Interest and Fiscal Charges - - - Capital Outlay - - - Total Expenditures 747,446 782,787 857,462

Excess of Revenues Over (Under) Expenditures 763,641 317,118 (152,289)

Other Financing Sources (Uses) Operating Transfers In 10,695 - - Operating Transfers Out (114,896) (120,000) (38,820) Total Other Financing Sources (Uses) (104,201) (120,000) (38,820)

Net Change in Fund Balances (Deficit) 659,440 197,118 (191,109)

Fund Balance (Deficit) at Beginning of Year 1,185,666 1,173,526 729,420 Inventory Reserve Increase (Decrease) - - -

Fund Balance (Deficit) at End of Year $ 1,845,106 $ 1,370,644 $ 538,311

98


Affordable Municipal Service Law CriminalHousing Benefit Units/Special Enforcement Justice Pollution

Assistance Trust Section 8 Assessments Trust Trust Recovery

$ - $ - $ - $ - $ - $ - - - - - - -

2,342,353 1,381,267 - - - - - - - - - - - - - 153,185 224,189 38,900 - - 445,205 - - -

33,760 9,247 12,217 1,706 3,704 969 220,906 4,673 - - - -

2,597,019 1,395,187 457,422 154,891 227,893 39,869

- - - - - - - - - 139,020 - - - - - - - 17,052 - - 346,778 - - -

2,393,225 1,442,999 - - - - - - - - - - - - - - - - - - - - - -

- - - - - - - - - - - - - - - - - -

2,393,225 1,442,999 346,778 139,020 - 17,052

203,794 (47,812) 110,644 15,871 227,893 22,817

- - - - - - - (44,068) (45,458) - (227,893) - - (44,068) (45,458) - (227,893) -

203,794 (91,880) 65,186 15,871 - 22,817

1,127,273 431,856 224,864 12,754 - 25,748 - - - - - -

$ 1,331,067 $ 339,976 $ 290,050 $ 28,625 $ - $ 48,565

Continued

99





Code Lake County MTUEnforcement Building For Fire

Liens Services Protection

Revenues Taxes $ - $ - $ 8,580,796 Licenses and Permits - 4,329,717 - Intergovernmental - - 56,388 Charges for Services - 273,260 5,017 Fines and Forfeitures 20,468 20,640 - Special Assessments - - - Investment Income 2,698 12,459 195,677 Miscellaneous - 22,367 Total Revenues 23,166 4,636,076 8,860,245

Expenditures Current: General Government - - 232,658 Public Safety 30,330 3,279,072 9,008,782 Physical Environment - - - Transportation - - - Economic Environment - - - Human Services - - - Culture and Recreation - - - Court-Related Expenditures - - - Debt Service: Principal - - - Interest and Fiscal Charges - - - Capital Outlay - - - Total Expenditures 30,330 3,279,072 9,241,440

Excess of Revenues Over (Under) Expenditures (7,164) 1,357,004 (381,195)

Other Financing Sources (Uses) Operating Transfers In - 89,074 179,147 Operating Transfers Out - (863,184) (620,232) Total Other Financing Sources (Uses) - (774,110) (441,085)

Net Change in Fund Balances (Deficit) (7,164) 582,894 (822,280)

Fund Balance (Deficit) at Beginning of Year 96,330 - 5,067,292 Inventory Reserve Increase (Decrease) - - -

Fund Balance (Deficit) at End of Year $ 89,166 $ 582,894 $ 4,245,012

100

Special Revenue Funds, continuedClerk Sheriff

Fire Services County-Wide Animal Records SpecialImpact Fee Library Shelter Employee Modernization Revenue

Trust Trust Trust Benefit Trust Funds

$ - $ - $ - $ - $ - $ - - - - - - - - 422,627 - - 36,388 617,514 - 255 - - 240,079 508,276 - 12,748 - - - 152,695

254,835 - - - - - 20,598 17,838 2,019 123 6,240 3,357

- 6,302 8,941 1,278 - 43,751 275,433 459,770 10,960 1,401 282,707 1,325,593

- - - - 280,536 - 368,434 - - - - 2,521,128

- - - - - - - - - - - - - - - - - - - - - 392 - - - 3,278,731 - - - - - - - - - -

- - - - - - - - - - - - - - - - - -

368,434 3,278,731 - 392 280,536 2,521,128

(93,001) (2,818,961) 10,960 1,009 2,171 (1,195,535)

- 3,260,864 - - - 1,068,816 (26,708) - - - - (42,896) (26,708) 3,260,864 - - - 1,025,920

(119,709) 441,903 10,960 1,009 2,171 (169,615)

875,938 153,659 63,166 4,187 520,236 332,376 - - - - - (8,046)

$ 756,229 $ 595,562 $ 74,126 $ 5,196 $ 522,407 $ 154,715

Continued

101




Debt Service Funds Capital Projects FundPari-Mutuel

Sales Tax Revenues ParksBond Bond Debt Capital

Debt Service Service Projects

Revenues Taxes $ - $ - $ - Licenses and Permits - - - Intergovernmental - 297,667 - Charges for Services - - - Fines and Forfeitures - - - Special Assessments - - - Investment Income 66,719 84,125 13,867 Miscellaneous - - - Total Revenues 66,719 381,792 13,867

Expenditures Current: General Government - - - Public Safety - - - Physical Environment - - - Transportation - - - Economic Environment - - - Human Services - - - Culture and Recreation - - - Court-Related Expenditures - - - Debt Service: Principal 3,940,000 70,000 - Interest and Fiscal Charges 350,832 227,723 - Capital Outlay - 92,990 335,285 Total Expenditures 4,290,832 390,713 335,285

Excess of Revenues Over (Under) Expenditures (4,224,113) (8,921) (321,418)

Other Financing Sources (Uses) Operating Transfers In 4,290,300 - 30,000 Operating Transfers Out - - - Total Other Financing Sources (Uses) 4,290,300 - 30,000

Net Change in Fund Balances (Deficit) 66,187 (8,921) (291,418)

Fund Balance (Deficit) at Beginning of Year 3,519,001 3,914,452 514,315 Inventory Reserve Increase (Decrease) - - -

Fund Balance (Deficit) at End of Year $ 3,585,188 $ 3,905,531 $ 222,897

102

TotalNonmajor

GovernmentalFunds

$ 20,692,345 4,343,726

12,347,859 2,863,965

622,825 805,590 805,475

1,028,888 43,510,673

575,688 21,153,248 1,006,378

11,439,625 5,503,944

880,043 3,278,731

169,475

4,010,000 578,555 428,275

49,023,962

(5,513,289)

10,189,338 (3,197,835) 6,991,503

1,478,214

27,171,204 77,191

$ 28,726,609

103

LAKE COUNTY, FLORIDA SCHEDULE OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCE - BUDGET AND ACTUALCOUNTY TRANSPORTATION TRUST


VarianceOriginal Final PositiveBudget Budget Actual (Negative)

Revenues Taxes $ 5,351,203 $ 5,351,203 $ 5,692,284 $ 341,081 Intergovernmental 4,745,167 5,415,167 5,600,758 185,591 Charges for Services 283,280 283,280 332,739 49,459 Special Assessments 170,000 170,000 105,550 (64,450) Investment Income 179,500 79,500 108,103 28,603 Miscellaneous 209,000 209,000 218,389 9,389 Less: Statutory Requirement (546,908) (546,908) - 546,908 Total Revenues 10,391,242 10,961,242 12,057,823 1,096,581

Expenditures Current: Transportation 12,555,852 13,559,939 9,972,971 3,586,968 Total Expenditures 12,555,852 13,559,939 9,972,971 3,586,968

Excess of Revenues Over (Under) Expenditures (2,164,610) (2,598,697) 2,084,852 4,683,549

Other Financing Sources (Uses) Operating Transfers In 470,000 470,000 - (470,000) Operating Transfers Out (889,860) (905,193) (758,084) 147,109 Reserve for Contingencies (472,267) (847,113) - 847,113 Total Other Financing Sources (Uses) (892,127) (1,282,306) (758,084) 524,222

Net Change in Fund Balances (3,056,737) (3,881,003) 1,326,768 5,207,771


Inventory Reserve Increase - - 122,361 122,361


104


CHANGES IN FUND BALANCE - BUDGET AND ACTUALCHRISTOPHER C. FORD COMMERCE PARK



Revenues Investment Income $ 5,000 $ 5,000 $ 27,909 $ 22,909 Miscellaneous 1,150,000 1,150,000 452,483 (697,517) Less: Statutory Requirement (57,750) (57,750) - 57,750 Total Revenues 1,097,250 1,097,250 480,392 (616,858)

Expenditures Current: Economic Environment 102,219 102,219 42,597 59,622 Total Expenditures 102,219 102,219 42,597 59,622

Excess of Revenues Over Expenditures 995,031 995,031 437,795 (557,236)

Other Financing Uses Operating Transfers Out (1,082,750) (1,082,750) (82,750) 1,000,000 Reserve for Contingencies (1,666,049) (612,943) - 612,943 Total Other Financing Uses (2,748,799) (1,695,693) (82,750) 1,612,943

Net Change in Fund Balances (1,753,768) (700,662) 355,045 1,055,707

Fund Balance at Beginning of Year 1,753,768 700,662 700,662 -


105


CHANGES IN FUND BALANCE (DEFICIT) - BUDGET AND ACTUALMOSQUITO MANAGEMENT



Revenues Intergovernmental $ 34,328 $ 34,328 $ 34,785 $ 457 Investment Income 2,500 2,500 1,128 (1,372) Miscellaneous 300 300 - (300) Less: Statutory Requirement (1,856) (1,856) - 1,856 Total Revenues 35,272 35,272 35,913 641

Expenditures Current: Human Services 710,056 757,629 739,651 17,978 Total Expenditures 710,056 757,629 739,651 17,978

Excess of Revenues Under Expenditures (674,784) (722,357) (703,738) 18,619

Other Financing Sources (Uses) Operating Transfers In 523,982 523,982 523,982 - Reserve for Contingencies (20,000) (986) - 986 Total Other Financing Sources (Uses) 503,982 522,996 523,982 986

Net Change in Fund Balances (170,802) (199,361) (179,756) 19,605

Fund Balance at Beginning of Year 170,802 199,361 199,361 -

Inventory Reserve Decrease - - (36,030) (36,030)

Fund Balance (Deficit) at End of Year $ - $ - $ (16,425) $ (16,425)

106


CHANGES IN FUND BALANCE - BUDGET AND ACTUALLAW LIBRARY FUND



Revenues Charges for Services $ 150,000 $ 150,000 $ 174,588 $ 24,588 Investment Income 500 500 1,475 975 Miscellaneous 15,000 15,000 32,200 17,200 Less: Statutory Requirement (8,275) (8,275) - 8,275 Total Revenues 157,225 157,225 208,263 51,038

Expenditures Current: Court-Related Expenditures 158,337 182,981 169,475 13,506 Total Expenditures 158,337 182,981 169,475 13,506

Excess of Revenues Over (Under) Expenditures (1,112) (25,756) 38,788 64,544

Other Financing Uses Operating Transfers Out (8,275) (8,275) (8,275) - Reserve for Contingencies (1,160) (6,160) - 6,160 Total Other Financing Uses (9,435) (14,435) (8,275) 6,160

Net Change in Fund Balances (10,547) (40,191) 30,513 70,704


Fund Balance at End of Year $ - $ - $ 70,704 $ 70,704

107


CHANGES IN FUND BALANCE - BUDGET AND ACTUALAQUATIC PLANT MANAGEMENT



Revenues Intergovernmental $ 48,000 $ 48,000 $ 85,091 $ 37,091 Investment Income - - 186 186 Miscellaneous 500 500 425 (75) Less: Statutory Requirement (2,425) (2,425) - 2,425 Total Revenues 46,075 46,075 85,702 39,627

Expenditures Current: Physical Environment 263,889 263,889 241,880 22,009 Total Expenditures 263,889 263,889 241,880 22,009


Other Financing Sources (Uses) Operating Transfers In 209,976 217,274 217,274 - Reserve for Contingencies (7,000) (7,012) - 7,012 Total Other Financing Sources (Uses) 202,976 210,262 217,274 7,012





108


CHANGES IN FUND BALANCE - BUDGET AND ACTUALFISH CONSERVATION TRUST



Revenues Licenses and Permits $ 21,000 $ 21,000 $ 14,009 $ (6,991) Investment Income 1,000 1,000 3,035 2,035 Less: Statutory Requirement (1,100) (1,100) - 1,100 Total Revenues 20,900 20,900 17,044 (3,856)

Expenditures Current: Physical Environment 52,000 52,000 - 52,000 Total Expenditures 52,000 52,000 - 52,000






109


CHANGES IN FUND BALANCE - BUDGET AND ACTUALCOMMUNITY DEVELOPMENT



Revenues Intergovernmental $ 1,020,000 $ 1,231,475 $ 935,532 $ (295,943) Less: Statutory Requirement (51,000) (51,000) - 51,000 Total Revenues 969,000 1,180,475 935,532 (244,943)

Expenditures Current: Economic Environment 888,392 940,592 767,661 172,931 Human Services 140,000 140,000 140,000 - Total Expenditures 1,028,392 1,080,592 907,661 172,931

Excess of Revenues Over (Under) Expenditures (59,392) 99,883 27,871 (72,012)

Other Financing Uses Operating Transfers Out (55,183) (55,183) (27,871) 27,312 Reserve for Contingencies (96,900) (44,700) - 44,700 Total Other Financing Uses (152,083) (99,883) (27,871) 72,012

Net Change in Fund Balances (211,475) - - -

Fund Balance at Beginning of Year 211,475 - - -

Fund Balance at End of Year $ - $ - $ - $ -

110


CHANGES IN FUND BALANCE (DEFICIT)- BUDGET AND ACTUALPUBLIC TRANSPORTATION FUND



Revenues Intergovernmental $ 20,000 $ 561,500 $ 495,404 $ (66,096) Charges for Services 1,049,591 508,091 265,203 (242,888) Investment Income 1,000 1,000 474 (526) Miscellaneous - 17,165 17,165 - Less: Statutory Requirement (53,530) (53,530) - 53,530 Total Revenues 1,017,061 1,034,226 778,246 (255,980)

Expenditures Current: Transportation 1,301,652 1,466,817 1,119,876 346,941 Total Expenditures 1,301,652 1,466,817 1,119,876 346,941


Other Financing Sources (Uses) Operating Transfers In 284,100 486,513 486,513 - Operating Transfers Out (8,914) (8,914) (8,914) - Reserve for Contingencies (41,053) (38,053) - 38,053 Total Other Financing Sources (Uses) 234,133 439,546 477,599 38,053

Net Change in Fund Balances (Deficit) (50,458) 6,955 135,969 129,014

Fund Balance (Deficit) at Beginning of Year 50,458 (6,955) (6,955) -


111


CHANGES IN FUND BALANCE - BUDGET AND ACTUALLAKE COUNTY AMBULANCE



Revenues Taxes $ 4,512,901 $ 4,512,901 $ 4,322,959 $ (189,942) Investment Income 52,000 52,000 62,624 10,624 Less: Statutory Requirement (228,244) (228,244) - 228,244 Total Revenues 4,336,657 4,336,657 4,385,583 48,926

Expenditures Current: General Government 75,000 73,610 62,494 11,116 Public Safety 5,086,492 5,086,492 5,023,695 62,797 Total Expenditures 5,161,492 5,160,102 5,086,189 73,913


Other Financing Sources (Uses) Operating Transfers In 1,600 1,600 32,673 31,073 Operating Transfers Out (135,297) (136,687) (136,686) 1 Reserve for Contingencies (1,209,363) (1,307,001) - 1,307,001 Total Other Financing Sources (Uses) (1,343,060) (1,442,088) (104,013) 1,338,075

Net Change in Fund Balances (2,167,895) (2,265,533) (804,619) 1,460,914



112


CHANGES IN FUND BALANCE - BUDGET AND ACTUALSTORMWATER MANAGEMENT



Revenues Taxes $ 1,491,294 $ 1,491,294 $ 1,417,250 $ (74,044) Intergovernmental - 26,017 38,585 12,568 Investment Income 51,600 51,600 55,252 3,652 Less: Statutory Requirement (77,145) (77,145) - 77,145 Total Revenues 1,465,749 1,491,766 1,511,087 19,321

Expenditures Current: Physical Environment 1,542,057 1,861,745 747,446 1,114,299 Total Expenditures 1,542,057 1,861,745 747,446 1,114,299

Excess of Revenues Over (Under) Expenditures (76,308) (369,979) 763,641 1,133,620

Other Financing Sources (Uses) Operating Transfers In 1,600 1,600 10,695 9,095 Operating Transfers Out (121,854) (121,854) (114,896) 6,958 Reserve for Contingencies (1,024,677) (695,433) - 695,433 Total Other Financing Sources (Uses) (1,144,931) (815,687) (104,201) 711,486




113


CHANGES IN FUND BALANCE - BUDGET AND ACTUALEMERGENCY 9-1-1



Revenues Charges for Services $ 983,350 $ 983,350 $ 1,063,662 $ 80,312 Investment Income 39,000 26,000 36,243 10,243 Less: Statutory Requirement (51,118) (51,118) - 51,118 Total Revenues 971,232 958,232 1,099,905 141,673

Expenditures Current: Public Safety 913,458 1,089,905 782,787 307,118 Total Expenditures 913,458 1,089,905 782,787 307,118

Excess of Revenues Over (Under) Expenditures 57,774 (131,673) 317,118 448,791

Other Financing Uses Operating Transfers Out (48,650) (120,000) (120,000) - Reserve for Contingencies (700,985) (921,853) - 921,853 Total Other Financing Uses (749,635) (1,041,853) (120,000) 921,853

Net Change in Fund Balances (691,861) (1,173,526) 197,118 1,370,644

Fund Balance at Beginning of Year 691,861 1,173,526 1,173,526 -


114


CHANGES IN FUND BALANCE - BUDGET AND ACTUALRESORT/DEVELOPMENT TAX



Revenues Taxes $ 736,890 $ 736,890 $ 679,056 $ (57,834) Intergovernmental 3,500 3,500 3,500 - Charges for Services 1,000 1,000 886 (114) Investment Income 35,000 15,000 21,723 6,723 Miscellaneous - - 8 8 Less: Statutory Requirement (38,819) (38,819) - 38,819 Total Revenues 737,571 717,571 705,173 (12,398)

Expenditures Current: Economic Environment 882,976 904,976 857,462 47,514 Total Expenditures 882,976 904,976 857,462 47,514






115


CHANGES IN FUND BALANCE - BUDGET AND ACTUALAFFORDABLE HOUSING ASSISTANCE TRUST



Revenues Intergovernmental $ 1,844,860 $ 1,844,860 $ 2,342,353 $ 497,493 Investment Income 80,000 20,000 33,760 13,760 Miscellaneous 60,000 60,000 220,906 160,906 Less: Statutory Requirement (99,243) (99,243) - 99,243 Total Revenues 1,885,617 1,825,617 2,597,019 771,402

Expenditures Current: Economic Environment 3,272,813 2,943,863 2,393,225 550,638 Total Expenditures 3,272,813 2,943,863 2,393,225 550,638

Excess of Revenues Over (Under) Expenditures (1,387,196) (1,118,246) 203,794 1,322,040

Other Financing Uses Reserve for Contingencies - (9,027) - 9,027 Total Other Financing Uses - (9,027) - 9,027




116


CHANGES IN FUND BALANCE - BUDGET AND ACTUALSECTION 8



Revenues Intergovernmental $ 1,461,984 $ 1,421,210 $ 1,381,267 $ (39,943) Investment Income 25,000 4,000 9,247 5,247 Miscellaneous 3,900 3,900 4,673 773 Less: Statutory Requirement (74,544) (74,544) - 74,544 Total Revenues 1,416,340 1,354,566 1,395,187 40,621

Expenditures Current: Economic Environment 1,501,942 1,541,442 1,442,999 98,443 Total Expenditures 1,501,942 1,541,442 1,442,999 98,443






117


CHANGES IN FUND BALANCE - BUDGET AND ACTUALMUNICIPAL SERVICE BENEFIT UNITS/SPECIAL ASSESSMENTS



Revenues Special Assessments $ 453,968 $ 453,968 $ 445,205 $ (8,763) Investment Income 4,450 4,450 12,217 7,767 Less: Statutory Requirement (22,920) (22,920) - 22,920 Total Revenues 435,498 435,498 457,422 21,924

Expenditures Current: Transportation 399,783 425,403 346,778 78,625 Total Expenditures 399,783 425,403 346,778 78,625

Excess of Revenues Over Expenditures 35,715 10,095 110,644 100,549





118


CHANGES IN FUND BALANCE - BUDGET AND ACTUALLAW ENFORCEMENT TRUST



Revenues Fines and Forfeitures $ - $ 132,604 $ 153,185 $ 20,581 Investment Income 500 500 1,706 1,206 Total Revenues 500 133,104 154,891 21,787

Expenditures Current: Public Safety 2,500 145,858 139,020 6,838 Total Expenditures 2,500 145,858 139,020 6,838




119


CHANGES IN FUND BALANCE - BUDGET AND ACTUALCRIMINAL JUSTICE TRUST



Revenues Fines and Forfeitures $ 186,579 $ 186,579 $ 224,189 $ 37,610 Investment Income 5,000 5,000 3,704 (1,296) Less: Statutory Requirement (9,579) (9,579) - 9,579 Total Revenues 182,000 182,000 227,893 45,893

Expenditures - - - - Total Expenditures - - - -


Other Financing Uses Operating Transfers Out (182,000) (182,000) (227,893) (45,893) Total Other Financing Uses (182,000) (182,000) (227,893) (45,893)

Net Change in Fund Balances - - - -

Fund Balance at Beginning of Year - - - -

Fund Balance at End of Year $ - $ - $ - $ -

120


CHANGES IN FUND BALANCE - BUDGET AND ACTUALPOLLUTION RECOVERY



Revenues Fines and Forfeitures $ 1,000 $ 1,000 $ 38,900 $ 37,900 Investment Income 400 400 969 569 Less: Statutory Requirement (70) (70) - 70 Total Revenues 1,330 1,330 39,869 38,539

Expenditures Physical Environment 19,550 19,550 17,052 2,498 Total Expenditures 19,550 19,550 17,052 2,498


Other Financing Uses Reserve for Contingencies (6,881) (7,528) - 7,528 Total Other Financing Uses (6,881) (7,528) - 7,528




121


CHANGES IN FUND BALANCE - BUDGET AND ACTUALCODE ENFORCEMENT LIENS



Revenues Fines and Forfeitures $ 10,000 $ 10,000 $ 20,468 $ 10,468 Investment Income 500 500 2,698 2,198 Less: Statutory Requirement (525) (525) - 525 Total Revenues 9,975 9,975 23,166 13,191

Expenditures Current: Public Safety 68,975 106,305 30,330 75,975 Total Expenditures 68,975 106,305 30,330 75,975




122


CHANGES IN FUND BALANCE - BUDGET AND ACTUALBUILDING SERVICES



Revenues Licenses and Permits $ 4,356,611 $ 4,393,111 $ 4,329,717 $ (63,394) Charges for Services 119,504 119,504 273,260 153,756 Fines and Forfeitures 8,200 8,200 20,640 12,440 Investment Income 15,000 10,500 12,459 1,959 Less: Statutory Requirement (224,966) (224,966) - 224,966 Total Revenues 4,274,349 4,306,349 4,636,076 329,727

Expenditures Current: Public Safety 3,471,301 3,532,239 3,279,072 253,167 Total Expenditures 3,471,301 3,532,239 3,279,072 253,167

Excess of Revenues Over Expenditures 803,048 774,110 1,357,004 582,894

Other Financing Sources (Uses) Operating Transfers In 89,074 89,074 89,074 - Operating Transfers Out (863,184) (863,184) (863,184) - Reserve for Contingencies (28,938) - - - Total Other Financing Sources (Uses) (803,048) (774,110) (774,110) -

Net Change in Fund Balances - - 582,894 582,894

Fund Balance at Beginning of Year - - - -


123


CHANGES IN FUND BALANCE - BUDGET AND ACTUALLAKE COUNTY MTU FOR FIRE PROTECTION



Revenues Taxes $ 7,441,899 $ 7,800,000 $ 8,580,796 $ 780,796 Intergovernmental 55,720 91,995 56,388 (35,607) Charges for Services 25,000 4,400 5,017 617 Investment Income 418,000 155,000 195,677 40,677 Miscellaneous 610 610 22,367 21,757 Less: Statutory Requirement (397,061) (397,061) - 397,061 Total Revenues 7,544,168 7,654,944 8,860,245 1,205,301

Expenditures Current: General Government 1,283,665 879,861 232,658 647,203 Public Safety 11,120,004 10,886,315 9,008,782 1,877,533 Total Expenditures 12,403,669 11,766,176 9,241,440 2,524,736

Excess of Revenues Under Expenditures (4,859,501) (4,111,232) (381,195) 3,730,037

Other Financing Sources (Uses) Operating Transfers In 140,000 179,147 179,147 - Operating Transfers Out (615,162) (620,233) (620,232) 1 Reserve for Contingencies (1,386,838) (514,974) - 514,974 Total Other Financing Sources (Uses) (1,862,000) (956,060) (441,085) 514,975




124


CHANGES IN FUND BALANCE - BUDGET AND ACTUALFIRE SERVICE IMPACT FEE TRUST



Revenues Special Assessments $ 377,776 $ 344,000 $ 254,835 $ (89,165) Investment Income 15,000 15,000 20,598 5,598 Less: Statutory Requirement (19,639) (19,639) - 19,639 Total Revenues 373,137 339,361 275,433 (63,928)

Expenditures Current: Public Safety 1,476,081 1,121,631 368,434 753,197 Total Expenditures 1,476,081 1,121,631 368,434 753,197

Excess of Revenues Under Expenditures (1,102,944) (782,270) (93,001) 689,269


Net Change in Fund Balances (1,351,629) (875,938) (119,709) 756,229

Fund Balance at Beginning of Year 1,351,629 875,938 875,938 -


125


CHANGES IN FUND BALANCE - BUDGET AND ACTUALCOUNTY-WIDE LIBRARY TRUST



Revenues Intergovernmental $ 365,768 $ 422,627 $ 422,627 $ - Charges for Services 500 500 255 (245) Fines and Forfeitures 2,000 2,000 12,748 10,748 Investment Income 15,000 7,000 17,838 10,838 Miscellaneous 1,000 2,995 6,302 3,307 Total Revenues 384,268 435,122 459,770 24,648

Expenditures Current: Culture and Recreation 3,938,920 3,990,556 3,278,731 711,825 Total Expenditures 3,938,920 3,990,556 3,278,731 711,825

Excess of Revenues Under Expenditures (3,554,652) (3,555,434) (2,818,961) 736,473

Other Financing Sources (Uses) Operating Transfers In 3,475,488 3,475,488 3,260,864 (214,624) Reserve for Contingencies (15,000) (73,713) - 73,713 Total Other Financing Sources (Uses) 3,460,488 3,401,775 3,260,864 (140,911)




126


CHANGES IN FUND BALANCE - BUDGET AND ACTUALANIMAL SHELTER TRUST



Revenues Investment Income $ 2,000 $ 1,400 $ 2,019 $ 619 Miscellaneous 5,000 5,000 8,941 3,941 Total Revenues 7,000 6,400 10,960 4,560

Expenditures Current: Human Services 3,500 3,500 - 3,500 Total Expenditures 3,500 3,500 - 3,500


Other Financing Uses Reserve for Contingencies (64,045) (66,066) - 66,066 Total Other Financing Uses (64,045) (66,066) - 66,066




127


CHANGES IN FUND BALANCE - BUDGET AND ACTUALEMPLOYEE BENEFIT



Revenues Investment Income $ 85 $ 85 $ 123 $ 38 Miscellaneous 1,500 1,500 1,278 (222) Total Revenues 1,585 1,585 1,401 (184)

Expenditures Current: Human Services 6,179 5,772 392 5,380 Total Expenditures 6,179 5,772 392 5,380




128


CHANGES IN FUND BALANCE - BUDGET AND ACTUALRECORDS MODERNIZATION TRUST



Revenues Intergovernmental $ - $ - $ 36,388 $ 36,388 Charges for Services 150,000 150,000 240,079 90,079 Investment Income 20,000 20,000 6,240 (13,760) Total Revenues 170,000 170,000 282,707 112,707

Expenditures Current: General Government 665,003 690,236 280,536 409,700 Total Expenditures 665,003 690,236 280,536 409,700




129


CHANGES IN FUND BALANCE - BUDGET AND ACTUALSHERIFF SPECIAL REVENUE



Revenues Intergovernmental $ 609,382 $ 563,511 $ 617,514 $ 54,003 Charges for Services 110,250 110,250 508,276 398,026 Fines and Forfeitures - 144,970 152,695 7,725 Investment Income 2,500 2,500 3,357 857 Miscellaneous 380,290 400,290 43,751 (356,539) Total Revenues 1,102,422 1,221,521 1,325,593 104,072

Expenditures Current: Public Safety 2,321,082 2,651,938 2,521,128 130,810 Total Expenditures 2,321,082 2,651,938 2,521,128 130,810


Other Financing Sources (Uses) Operating Transfers In 947,935 1,177,591 1,068,816 (108,775) Operating Transfers Out (21,307) (39,206) (42,896) (3,690) Reserve for Contingencies - (40,344) - 40,344 Total Other Financing Sources (Uses) 926,628 1,098,041 1,025,920 (72,121)





130


CHANGES IN FUND BALANCE - BUDGET AND ACTUALSALES TAX BOND DEBT SERVICE



Revenues Investment Income $ 72,000 $ 47,000 $ 66,719 $ 19,719 Less: Statutory Requirement (3,600) (3,600) - 3,600 Total Revenues 68,400 43,400 66,719 23,319

Expenditures Debt Service: Principal 3,940,000 3,940,000 3,940,000 - Interest and Fiscal Charges 351,300 351,300 350,832 468 Total Expenditures 4,291,300 4,291,300 4,290,832 468


Other Financing Sources (Uses) Operating Transfers In 4,290,300 4,290,300 4,290,300 - Reserve for Contingencies (3,533,027) (3,561,401) - 3,561,401 Total Other Financing Sources (Uses) 757,273 728,899 4,290,300 3,561,401




131


CHANGES IN FUND BALANCE - BUDGET AND ACTUALPARI-MUTUEL REVENUES BOND DEBT SERVICE



Revenues Intergovernmental $ 297,667 $ 297,667 $ 297,667 $ - Investment Income 10,000 10,000 84,125 74,125 Less: Statutory Requirement (15,383) (15,383) - 15,383 Total Revenues 292,284 292,284 381,792 89,508

Expenditures Debt Service: Principal 70,000 70,000 70,000 - Interest and Fiscal Charges 225,323 227,723 227,723 - Capital Outlay 3,968,498 3,909,013 92,990 3,816,023 Total Expenditures 4,263,821 4,206,736 390,713 3,816,023




132


CHANGES IN FUND BALANCE - BUDGET AND ACTUALPARKS CAPITAL PROJECTS



Revenues Intergovernmental $ - $ 225,000 $ - $ (225,000) Investment Income 1,000 1,000 13,867 12,867 Less: Statutory Requirement (50) (50) - 50 Total Revenues 950 225,950 13,867 (212,083)

Expenditures Capital Outlay 645,517 676,087 335,285 340,802 Total Expenditures 645,517 676,087 335,285 340,802


Other Financing Sources (Uses) Operating Transfers In 30,000 30,000 30,000 - Reserve for Contingencies (15,000) (94,178) - 94,178 Total Other Financing Sources (Uses) 15,000 (64,178) 30,000 94,178




133

MAJOR GOVERNMENTAL FUNDS

CAPITAL PROJECTS FUND

SALES TAX CAPITAL PROJECTS FUND To account for construction of various capital projects, using discretionary infrastructure sales surtax revenues.

LAKE COUNTY, FLORIDASCHEDULE OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCE - BUDGET AND ACTUALMAJOR FUND - SALES TAX CAPITAL PROJECTS


Sales Tax Capital ProjectsVariance withFinal Budget


Revenues Investment Income 100,000 100,000 370,203 270,203 Less: Statutory Requirement (5,000) (5,000) - 5,000 Total Revenues 95,000 95,000 370,203 275,203

Expenditures Capital Outlay 15,693,673 19,694,125 11,074,784 8,619,341 Total Expenditures 15,693,673 19,694,125 11,074,784 8,619,341

Excess of Revenues Under Expenditures (15,598,673) (19,599,125) (10,704,581) 8,894,544

Other Financing Sources (Uses) Operating Transfers In 7,163,084 9,159,640 8,159,640 (1,000,000) Reserve for Contingencies (3,475,104) (3,442,340) - 3,442,340 Total Other Financing Sources (Uses) 3,687,980 5,717,300 8,159,640 2,442,340

Net Change in Fund Balances (11,910,693) (13,881,825) (2,544,941) 11,336,884



135

INTERNAL SERVICE FUNDS INSURANCE FUND - BOARD To account for the revenues and expenses of the Employee Group Health Insurance Program for the Board of County Commissioners, Supervisor of Elections, Property Appraiser and Tax Collector. This fund also accounts for the revenues and expenses of the Comprehensive Liability Programs for the Board of County Commissioners and all Constitutional Officers (except the Sheriff). INSURANCE FUND - CLERK To account for the revenues and expenses of the Employee Group Health Insurance Program for the Clerk of the Circuit Court. FLEET MAINTENANCE INTERNAL SERVICE FUND To account for the revenues and expenses of the Fleet Maintenance Division with the County=s Public Works Department.

Insurance

Board Clerk

Assets

Current Assets: Pooled Cash and Investments $ 6,777,353 $ 509,568 Other Investments - 1,774,105 Accounts Receivable 173 4,160 Intragovernmental Receivables - - Due from Other Governments - - Inventory - - Total Current Assets 6,777,526 2,287,833

Capital Assets: Equipment - - Less: Accumulated Depreciation - - Total Capital Assets - - Total Assets 6,777,526 2,287,833

Liabilities

Current Liabilities: Accounts Payable 113,598 133 Accrued Liabilities - - Due to Fiscal Agent 2,315 - Estimated Insurance Claims Payable 1,436,000 245,540 Current Portion of Long-Term Obligations - - Total Current Liabilities 1,551,913 245,673

Long-Term Liabilities: Accrued Benefits Payable - - Total Long-Term Liabilities - - Total Liabilities 1,551,913 245,673

Net Assets

Invested in Capital Assets - - Unrestricted Net Assets 5,225,613 2,042,160 Total Net Assets $ 5,225,613 $ 2,042,160

LAKE COUNTY, FLORIDACOMBINING STATEMENT OF NET ASSETS

ALL INTERNAL SERVICE FUNDSSeptember 30, 2002

138

Total

$ 47,196 $ 7,334,117 - 1,774,105 - 4,333

8,022 8,022 8,704 8,704

139,367 139,367 203,289 9,268,648

285,228 285,228 (175,767) (175,767) 109,461 109,461 312,750 9,378,109

61,436 175,167 9,014 9,014 - 2,315 - 1,681,540

21,242 21,242 91,692 1,889,278

22,109 22,109 22,109 22,109

113,801 1,911,387

109,461 109,461 89,488 7,357,261

$ 198,949 $ 7,466,722

FleetMaintenance

139

Insurance

Board Clerk

Operating Revenues: Charges for Services $ 5,633,497 $ 879,460 Total Operating Revenues 5,633,497 879,460

Operating Expenses: Benefit Payments and Claims 4,366,726 1,122,728 Personal Services - - Contracted Services - - Supplies and Materials - - Repairs and Maintenance - - Utilities - - Other Charges and Services 730,344 293,174 Depreciation - - Total Operating Expenses 5,097,070 1,415,902

Operating Income (Loss) 536,427 (536,442)

Non-Operating Revenues: Interest Revenue 200,925 48,640 Net Gain on Disposal of Fixed Assets - - Total Non-Operating Revenues 200,925 48,640

Income (Loss) Before Operating Transfers 737,352 (487,802)

Operating Transfers In - 450,000 Operating Transfers Out (215,769) - Total Operating Transfers (215,769) 450,000

Change in Net Assets 521,583 (37,802)

Net Assets at Beginning of Year 4,704,030 2,079,962

Net Assets at End of Year $ 5,225,613 $ 2,042,160

LAKE COUNTY, FLORIDACOMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET ASSETSALL INTERNAL SERVICE FUNDS


140

Total

$ 1,171,956 $ 7,684,913 1,171,956 7,684,913

- 5,489,454 490,617 490,617

7,928 7,928 538,750 538,750 319,843 319,843 10,129 10,129 26,912 1,050,430 33,176 33,176

1,427,355 7,940,327

(255,399) (255,414)

600 250,165 2,674 2,674 3,274 252,839

(252,125) (2,575)

147,108 597,108 - (215,769)

147,108 381,339

(105,017) 378,764

303,966 7,087,958

$ 198,949 $ 7,466,722

FleetMaintenance

141

LAKE COUNTY, FLORIDACOMBINING STATEMENT OF CASH FLOWS

ALL INTERNAL SERVICE FUNDSFor the Year Ended September 30, 2002

InsuranceBoard Clerk

Cash Flows from Operating Activities: Cash Received from Customers and for Contributions $ 5,687,493 $ 879,220 Cash Paid to Suppliers and for Claims (4,860,964) (1,310,046) Cash Paid to Employees - - Cash Paid to Insurance Fund - - Net Cash Provided by (Used for) Operating Activities 826,529 (430,826)

Cash Flows from NonCapital Financing Activities: Cash Transfers from Other Funds - 450,000 Cash Transfers to Other Funds (215,769) - Net Cash Provided by (Used for) NonCapital Financing Activities (215,769) 450,000

Cash Flows from Capital Activities: Additions to Property, Plant and Equipment - - Net Cash Used for Capital Activities - -

Cash Flows from Investing Activities: Interest Received 200,925 48,640 Net Cash Provided by Investing Activities 200,925 48,640

Net Increase (Decrease) in Cash and Cash Equivalents 811,685 67,814 Cash and Cash Equivalents at October 1 5,965,668 2,215,859 Cash and Cash Equivalents at September 30 $ 6,777,353 $ 2,283,673

RECONCILIATION OF OPERATING INCOME (LOSS) TONET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES

InsuranceBoard Clerk

Operating Income (Loss) $ 536,427 $ (536,442)

Adjustments to Reconcile Operating Income (Loss)to Net Cash Provided by (Used for) Operating Activities: Depreciation - - (Increase) Decrease in Accounts Receivable 22,674 (240) Decrease in Intragovernmental Receivables 1,566 - Decrease in Due from Other Governments 29,755 - Increase in Inventory - - Decrease in Prepaid Expenses - 7 Increase (Decrease) in Accounts Payable 108,833 (224) Increase in Accrued Liabilities - - Decrease in Due to Fiscal Agent (726) - Increase in Estimated Claims Payable 128,000 106,073 Increase in Accrued Benefits Payable - - Total Adjustments 290,102 105,616 Net Cash Provided by (Used for) Operating Activities $ 826,529 $ (430,826)

Noncash Investing, Capital and Financing ActivitiesGain on Disposition of Fixed Assets

142

Total

$ 1,175,655 $ 7,742,368 (919,638) (7,090,648) (409,438) (409,438) (78,724) (78,724)

(232,145) 163,558

147,108 597,108 - (215,769)

147,108 381,339

(11,909) (11,909) (11,909) (11,909)

600 250,165 600 250,165

(96,346) 783,153 143,542 8,325,069

$ 47,196 $ 9,108,222

Total$ (255,399) $ (255,414)

33,176 33,176 - 22,434 635 2,201

3,064 32,819 (13,408) (13,408)

- 7 (2,668) 105,941

445 445 - (726) - 234,073

2,010 2,010 23,254 418,972

$ (232,145) $ 163,558

2,674 2,674

FleetMaintenance

FleetMaintenance

143

FIDUCIARY FUNDS

A G E N C Y F U N D S

BOARD OF COUNTY COMMISSIONERS SCHOOL IMPACT FEE TRUST FUND To account for the collection and distribution of impact fees pertaining to the Lake County District School Board. ESCROW DEPOSITS FUND To account for the collection and payment of builders' and developers' surety deposits.

CLERK OF CIRCUIT COURT AGENCY FUND To record the collection and payment of monies collected for the Department of Revenue, Bureau of Vital Statistics, State Treasurer, and other various State and Federal agencies. FINES AND COSTS FUND To account for the collection and disbursement of all court ordered fines and costs collected on behalf of various governmental agencies. TAX DEED SALES FUND To account for the collection and disbursements of the proceeds of tax deed sales in accordance with Chapter 197, Florida Statutes. JUROR AND WITNESS FUND To record the receipt and disbursement of funds to jurors and witnesses on behalf of county and state agencies. UNIFORM SUPPORT FUND To account for the collection and payment of court ordered alimony and child support payments.

SUSPENSE To account for the receipt and disbursement of temporarily unidentified monies. COURTS REGISTRY FUND To record the collection and payment of deposits required by Circuit and County Court legal actions. TAX COLLECTOR TAX COLLECTIONS TRUST FUND To record the receipt and distribution of ad valorem tax collections. TAG AND TITLE TRUST FUND To record the receipt and distribution of vehicle tag and title collections and marine title and registration fees collected on behalf of various State agencies. HUNTING AND FISHING LICENSE FUND To account for the collection and disbursement of hunting and fishing license fees collected on behalf of State and local agencies. SHERIFF'S OFFICE CASH BONDS FUND To account for the receipt and disbursement of bonds posted by individuals pending judicial proceedings.

CIVIL FUND To account for the receipt and disbursement of funds that result from civil process, confiscation and Sheriff's sales. INMATE TRUST FUND To account for the receipt and distribution of the personal funds of County Jail inmates.

SUSPENSE To account for the receipt and disbursement of temporarily unidentified monies.

LAKE COUNTY, FLORIDACOMBINING STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES

FIDUCIARY FUNDSSeptember 30, 2002

AGENCY FUNDS Board of County Commissioners

SchoolImpact Fee Escrow

Trust DepositsAssets

Cash $ - $ 96,163 Pooled Cash and Investments 422,283 - Restricted Cash and Investments - - Other Investments - 31,000 Accounts Receivable - - Due from Other Funds - -

Total Assets $ 422,283 $ 127,163

Liabilities

Liabilities: Accounts Payable $ $ - Due to Other Funds - - Intragovernmental Payables - - Due to Other Governments 422,283 - Deposits - 127,163 Taxes Collected in Advance - - Cash Bonds Payable - -

Total Liabilities $ 422,283 $ 127,163

146

AGENCY FUNDSClerk of the Circuit Court

Fines Taxand Deed

Agency Costs Sales

$ - $ - $ - 650,196 360,609 216,595

- - - - - - - - - - - -

$ 650,196 $ 360,609 $ 216,595

$ 432 $ 6,428 $ 462 - - -

32,883 138,731 1,108 602,230 215,450 - 14,651 - 215,025

- - - - - -

$ 650,196 $ 360,609 $ 216,595

Continued

147


FIDUCIARY FUNDS (Continued)September 30, 2002

AGENCY FUNDS Clerk of the Circuit Court

Jurorand Uniform

Witness SupportAssets

Cash $ - $ - Pooled Cash and Investments 10,460 3,879 Restricted Cash and Investments - - Other Investments - - Accounts Receivable - 462 Due from Other Funds - -

Total Assets $ 10,460 $ 4,341

Liabilities

Liabilities: Accounts Payable $ - $ - Due to Other Funds - - Intragovernmental Payables 7,104 - Due to Other Governments 3,356 3,964 Deposits - 377 Taxes Collected in Advance - - Cash Bonds Payable - -


148

AGENCY FUNDS AGENCY FUNDSClerk of the Circuit Court Tax Collector

TaxCourts Collections

Suspense Registry Trust

$ - $ - $ 1,764,591 528 937,494 -

- - - - - - - - - - - -

$ 528 $ 937,494 $ 1,764,591

$ - $ - $ 293,256 - - - - - 315,492 - - 155,634 528 937,494 -

- - 1,000,209 - - -

$ 528 $ 937,494 $ 1,764,591

Continued

149



AGENCY FUNDSTax Collector

Tag and HuntingTitle and FishingTrust License

Assets

Cash $ 459,759 $ 17,509 Pooled Cash and Investments - - Restricted Cash and Investments - - Other Investments - - Accounts Receivable - - Due from Other Funds - -

Total Assets $ 459,759 $ 17,509

Liabilities

Liabilities: Accounts Payable $ 1,980 $ 123 Due to Other Funds - - Intragovernmental Payables 6,749 376 Due to Other Governments 451,030 17,010 Deposits - - Taxes Collected in Advance - - Cash Bonds Payable - -


150

AGENCY FUNDSSheriff

Cash Inmate Bonds Civil Trust

$ - $ - $ - - - -

421,462 25,374 58,151 - - - - - - - - -

$ 421,462 $ 25,374 $ 58,151

$ - $ - $ - 15,291 - -

- 8,897 - - - - - 16,477 58,151 - - -

406,171 - -

$ 421,462 $ 25,374 $ 58,151

Continued

151



TotalAGENCY FUNDS Agency

Sheriff Funds

SuspenseAssets

Cash $ - $ 2,338,022 Pooled Cash and Investments 13,552 2,615,596 Restricted Cash and Investments - 504,987 Other Investments - 31,000 Accounts Receivable - 462 Due from Other Funds 15,291 15,291

Total Assets $ 28,843 $ 5,505,358

Liabilities

Liabilities: Accounts Payable $ - $ 302,681 Due to Other Funds - 15,291 Intragovernmental Payables 11,738 523,078 Due to Other Governments - 1,870,957 Deposits 17,105 1,386,971 Taxes Collected in Advance - 1,000,209 Cash Bonds Payable - 406,171

Total Liabilities $ 28,843 $ 5,505,358

152

153

STATISTICAL SECTION The following tables are not applicable to Lake County:

# Computation of Legal Debt Margin.

# Ratio of Net General Bonded Debt to Assessed Value and Net Bonded Debt Per Capita - Last Ten Fiscal Years.

# Ratio of Annual Debt Service Expenditures for General Bonded Debt to

Total General Governmental Expenditures - Last Ten Fiscal Years.

# Computation of All General Obligation Overlapping Debt.

LAKE COUNTY, FLORIDAGOVERNMENT-WIDE EXPENSES BY FUNCTION

YEAR ENDED SEPTEMBER 30, 2002

FISCAL YEAR2002 (1)

General Government $ 27,698,423Public Safety 56,829,456Physical Environment 1,844,043Transportation 9,176,041Economic Environment 6,229,876Human Services 4,615,841Culture and Recreation 5,078,327Court-Related 6,542,853Interest on Long Term Debt 577,519Business-Type Activity - Landfill 14,290,466

Total $ 132,882,845

LAKE COUNTY, FLORIDAGOVERNMENT-WIDE REVENUES

YEAR ENDED SEPTEMBER 30, 2002

FISCAL YEARProgram Revenues 2002 (1)Charges for Services $ 35,209,614Operating Grants and Contributions 14,546,873Capital Grants and Contributions 11,429,412

General RevenuesTaxes: Property Taxes 47,277,830 Sales Taxes 14,311,889 Gas Taxes 5,692,284 Franchise Fees 1,434,767 Other Taxes 9,259,852Intergovernmental Revenues 13,061,458Investment Income 3,971,003Miscellaneous 2,401,605

Total $ 158,596,587

(1) Only one year available due to initial year of GASB Statement No. 34 implementation.

155

FISCAL YEARGENERAL

GOVERNMENTPUBLIC SAFETY

PHYSICAL ENVIRONMENT

TRANS-PORTATION

ECONOMIC ENVIRONMENT

1992-93 $ 12,816,210 $ 24,670,631 $ 1,352,991 $ 8,921,400 $ 1,782,673

1993-94 14,937,333 24,354,237 1,507,081 10,512,130 1,735,799

1994-95 15,362,462 27,114,212 1,648,950 9,889,489 2,638,898

1995-96 16,733,073 30,254,140 1,717,793 10,690,472 918,717

1996-97 15,921,799 30,514,016 1,368,171 11,934,296 1,585,277

1997-98 17,912,580 32,884,280 1,498,850 11,939,226 2,296,736

1998-99 18,642,363 38,195,199 1,638,517 17,149,036 3,251,671

1999-00 22,493,939 45,250,690 1,562,348 13,041,595 1,975,320

2000-01 20,293,685 52,099,913 1,635,522 14,887,918 2,411,587

2001-02 23,129,643 56,397,469 2,400,907 21,362,823 6,648,334

(1) Commencing with the report for fiscal year ended September 30 1998, Court-Related Expenditures for the Board were reflected as a distinct functional category per the revised State Chart of Accounts. Figures for fiscal year ended September 30, 1997 have been restated to reflect this change.

(2) Commencing with the report for fiscal year ended September 30 2002, Court-Related Expenditures for the Clerk of Courts were included with Court-Related Expenditures instead of General Government. Figures for fiscal year ended September 30, 2001 have been restated to reflect this change.

LAKE COUNTY, FLORIDAGENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION - LAST TEN FISCAL YEARS

TOTAL GOVERNMENTAL FUNDS

156

HUMAN SERVICES

CULTURE/ RECREATION

COURT-RELATED EXPENDITURES

DEBT SERVICE

CAPITAL OUTLAY TOTAL

$ 3,097,694 $ 1,214,836 $ - $ 5,317,200 $ 1,758,504 $ 60,932,139

3,451,667 1,381,096 - 5,548,505 2,232,017 65,659,865

3,696,150 1,590,541 - 4,938,405 9,000,705 75,879,812

4,132,037 1,782,461 - 4,969,272 4,636,475 75,834,440

4,735,112 2,617,940 1,144,784 7,135,984 2,773,125 79,730,504

4,748,093 2,915,635 1,329,440 6,026,078 2,365,852 83,916,770 (1)

5,442,314 3,095,392 1,389,504 6,027,417 775,193 95,606,606

6,291,169 3,641,547 1,615,553 6,342,143 2,349,467 104,563,771

6,440,968 4,902,630 5,618,652 6,677,883 4,567,443 119,536,201

4,644,267 4,754,840 6,049,315 4,588,555 11,503,059 141,479,212

157

FISCAL YEAR TAXESLICENSES

AND PERMITSINTER-

GOVERNMENTALCHARGES FOR

SERVICES

1992-93 $ 34,775,303 $ 1,228,584 $ 15,507,425 $ 5,218,527

1993-94 38,244,152 1,351,689 14,346,653 6,068,425

1994-95 40,541,146 1,504,539 15,031,745 6,511,563

1995-96 42,712,543 2,090,843 16,997,369 7,581,096

1996-97 44,659,815 2,296,064 16,861,210 9,776,904

1997-98 46,147,191 2,663,378 18,392,797 10,127,282

1998-99 54,748,502 2,884,150 21,206,324 9,914,312

1999-00 60,505,127 3,617,808 21,759,754 10,321,355

2000-01 70,431,363 4,441,560 23,076,603 13,430,666

2001-02 77,661,044 4,798,953 27,934,668 13,415,072

(1) During the fiscal year ended September 30, 1996, Interest Revenue was separated from Miscellaneous Revenue. Figures for fiscal year ended September 30, 1995 have been restated to reflect this change.

LAKE COUNTY, FLORIDAGENERAL GOVERNMENTAL REVENUES BY SOURCE- LAST TEN FISCAL YEARS

TOTAL GOVERNMENTAL FUNDS

158

FINES AND FORFEITURES

SPECIAL ASSESSMENTS

INVESTMENT INCOME

MISCELLANEOUS REVENUES TOTAL

$ 1,415,401 $ - $ - $ 4,193,514 $ 62,338,754

1,905,789 - - 4,605,162 66,521,870

1,535,839 2,522,596 2,604,127 1,490,725 71,742,280

1,840,151 4,218,679 2,307,669 1,060,607 78,808,957 (1)

1,779,167 3,941,105 2,671,616 1,505,643 83,491,524

1,631,542 5,524,230 3,077,850 2,593,922 90,158,192

2,404,457 6,497,410 2,999,528 2,775,488 103,430,171

2,038,243 9,570,646 4,554,572 1,454,934 113,822,439

3,245,929 9,529,942 5,488,695 2,969,235 132,613,993

1,992,761 11,965,816 2,804,931 2,029,628 142,602,873

159

FISCAL YEAR

TOTAL TAX LEVY

CURRENT TAX COLLECTIONS

PERCENT OF LEVY

COLLECTEDDELINQUENT TAX

COLLECTIONSTOTAL TAX

COLLECTIONS

PERCENT OF TOTAL

COLLECTIONS TO LEVY

1992-93 $ 21,593,510 $ 20,685,120 95.8% $ 215,640 $ 20,900,760 96.8% (1)

1993-94 24,068,491 23,117,883 96.1 147,352 23,265,235 96.7 (1)

1994-95 25,946,463 24,843,858 95.8 316,744 25,160,602 97.0 (2)

1995-96 26,761,060 25,546,544 95.5 167,078 25,713,622 96.1 (3)

1996-97 27,556,669 26,313,178 95.5 180,945 26,494,123 96.1 (3)

1997-98 28,584,267 27,289,014 95.5 97,291 27,386,305 95.8 (3)

1998-99 31,323,970 29,953,579 95.6 535,191 30,488,770 97.3 (3)

1999-00 34,882,207 33,648,046 96.5 399,734 34,047,780 97.6 (4)

2000-01 44,478,517 42,527,424 95.6 223,929 42,751,353 96.1 (4)

2001-02 49,406,147 46,872,967 94.9 357,339 47,230,306 95.6 (4)

(1) These figures include property tax levies of the General County, Northeast Ambulance District, Northwest Ambulance District and the Greater Hills Municipal Service Taxing Unit.(2) These figures include property tax levies of the General County, Lake County Ambulance District and the

Greater Hills Municipal Service Taxing Unit.

(3) These figures include property tax levies of the General County and Lake County Ambulance District.

(4) These figures include property tax levies of the General County, Lake County Ambulance District and Lake County Stormwater MSTU.

NOTE: Property taxes become due and payable on November 1st of each year. A four (4) percent discount is allowed if the taxes are paid in November, with the discount declining by one (1) percent each month thereafter. Accordingly, taxes collected will never be 100 percent of the tax levy. Taxes become delinquent on April 1st of each year; tax certificates for the full amount of any unpaid Real Property taxes and assessments must be sold not later than June 1st of each year.

SOURCE: Lake County Property Appraiser.

LAKE COUNTY, FLORIDAPROPERTY TAX LEVIES AND COLLECTIONS

LAST TEN FISCAL YEARS

160

TYPE OF 2002 ASSESSEDPERCENT OF TOTAL ASSESSED TAXABLE

TAXPAYER BUSINESS TAXABLE VALUE VALUATION

Sprint - Florida, Inc. Public Utility $ 147,100,002 1.73

Florida Power Corporation Public Utility 107,451,675 1.27

NRG/Recovery Group, Inc. Incinerator 65,440,586 0.77

Sumter Electric Co-op, Inc. Public Utility 65,112,216 0.77

Summer Bay Partnership Real Estate Development 49,248,240 0.58

Villages of Lake Sumter, Inc. Real Estate Development 46,038,395 0.54

BCC Equipment Leasing Corp Equipment Leasing 36,003,780 0.42

Cutrale Citrus Juices USA Inc. Citrus Producer 33,338,353 0.39

SDG Macerich Properties, LP. Real Estate Development 28,627,510 0.34

Comcast Sch Holdings, Inc. Cablevision 28,044,523 0.33

$ 606,405,280 7.14

SOURCE: Lake County Property Appraiser

LAKE COUNTY, FLORIDATOP TEN TAXPAYERS

FISCAL YEAR ENDED SEPTEMBER 30, 2002

161

FISCAL YEAR

ASSESSED TAXABLE

VALUE

ESTIMATED ACTUAL VALUE

ASSESSED TAXABLE

VALUE


1992-93 $ 3,621,147,219 $ 5,271,282,631 $ 649,780,932 $ 695,306,683

1993-94 3,825,896,856 5,633,957,939 692,045,241 774,843,485

1994-95 4,097,974,722 5,988,517,752 768,041,176 855,713,657

1995-96 4,423,650,486 6,363,571,955 818,915,796 945,979,942

1996-97 4,627,450,425 6,711,434,701 844,873,368 1,018,910,384

1997-98 4,966,480,786 7,150,688,018 917,800,067 1,141,385,422

1998-99 5,394,788,622 7,670,282,422 947,508,431 1,159,003,743

1999-00 5,942,686,968 8,348,378,288 996,482,112 1,242,458,079

2000-01 6,612,555,343 9,238,981,450 1,065,915,706 1,315,194,596

2001-02 7,367,980,787 10,087,584,597 1,108,483,586 1,378,729,576

REAL PROPERTY PERSONAL PROPERTY

LAKE COUNTY, FLORIDAASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY


162

ASSESSED TAXABLE

VALUE


ASSESSED TAXABLE

VALUE


PERCENTAGE OF ASSESSED TAXABLE

VALUE TO ESTIMATED ACTUAL VALUE

$ 2,443,773 $ 2,443,773 $ 4,273,371,924 $ 5,969,033,087 71.59%

2,126,516 2,126,516 4,519,268,613 6,410,927,940 70.49

2,475,038 2,475,038 4,868,490,936 6,846,706,447 71.11

2,821,616 2,821,616 5,245,387,898 7,312,373,513 71.73

3,074,530 3,074,530 5,475,398,323 7,733,419,615 70.80

3,438,006 3,438,006 5,887,718,859 8,295,511,446 70.97

4,030,565 4,030,565 6,346,327,618 8,833,316,730 71.85

3,971,762 3,971,762 6,943,140,842 9,594,808,129 72.36

3,922,368 3,922,368 7,682,393,417 10,558,098,414 72.76

4,184,961 4,184,961 8,480,649,334 11,470,499,134 73.93

CENTRALLY ASSESSED PROPERTY TOTAL

163

2001-02 2000-01 1999-00 1998-99

BOARD OF COUNTY COMMISSIONERS

General Revenue Fund 5.117 5.117 4.733 4.733 Stormwater Municipal Services Taxing Unit 0.300 0.20 0.100 -

TOTAL GENERAL COUNTY 5.417 5.317 4.833 4.733

BOARD OF PUBLIC INSTRUCTION 8.202 8.495 8.742 9.190

Lake County Water Authority (Independent Special District) (1) 0.500 0.500 0.500 0.384

TOTAL COUNTY WIDE 14.119 14.312 14.075 14.307

SPECIAL DISTRICTSDependent Districts Northeast Ambulance (2) - - - - Northwest Ambulance (2) - - - - Lake County Ambulance District (2) 0.5289 0.550 0.316 0.268 Greater Hills Municipal Service Taxing Unit - - - -

Independent Districts South Lake County Hospital District 1.000 1.000 1.000 2.000 South Lake Ambulance - - - - Southwest Florida Water Management 0.422 0.422 0.422 0.422 St. Johns River Water Management 0.462 0.472 0.482 0.482 North Lake County Hospital District East (3) - - - - North Lake County Hospital District West (3) - - - - North Lake County Hospital District 1.000 1.000 1.000 1.000

(1) Formerly the Oklawaha Recreation, Water Control and Conservation Authority.

(2) The Lake County Ambulance District was formed in fiscal year 1995, from the merger of the NortheastAmbulance and Northwest Ambulance Taxing Districts.

(3) North Lake County Hospital District (Formed by the merger of Northeast Hospital District and NorthwestDistrict) held the status of dependent district until the November 6, 1990 general election at which time the citizens voted for independent status.


FISCAL YEAR

LAKE COUNTY, FLORIDAPROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS

LAST TEN FISCAL YEARS(PER $1,000.00 OF ASSESSED VALUE)

164

1997-98 1996-97 1995-96 1994-95 1993-94 1992-93

4.733 4.909 4.927 5.135 5.135 4.864- - - - - -

4.733 4.909 4.927 5.135 5.135 4.864

9.100 9.228 9.678 8.515 8.938 9.005

0.384 0.384 0.384 0.400 0.517 0.740

14.217 14.521 14.989 14.050 14.590 14.609

- - - - 0.222 0.222- - - - 0.222 0.2220.158 0.158 0.222 0.222 - -- - - 4.000 4.000 4.000

2.000 2.000 2.000 2.000 2.000 2.000- - - - - -0.422 0.422 0.422 0.422 0.422 0.3220.482 0.482 0.482 0.482 0.470 0.358- - - - 1.000 1.000- - - - 1.000 1.0001.000 1.000 1.000 1.000 - -

165

2001-02 2000-01 1999-00 1998-99CITIES

Astatula 2.350 2.250 2.250 2.000Clermont 3.729 3.729 3.479 2.979Eustis 5.487 5.237 5.237 5.350Fruitland Park 3.890 3.890 3.890 3.390Groveland 6.000 6.000 6.000 6.000Howey-in-the-Hills 5.445 5.445 5.445 5.445Lady Lake 2.720 2.720 2.720 2.720Leesburg 4.500 4.500 4.500 4.500Mascotte 5.999 5.999 5.352 5.352Minneola 3.390 3.390 3.390 3.390Montverde 2.990 2.990 2.990 2.990Mount Dora 6.181 6.181 6.181 6.181Tavares 4.420 4.420 4.420 4.420Umatilla 5.750 5.514 5.514 5.514


FISCAL YEAR

LAKE COUNTY, FLORIDAPROPERTY TAX RATES - ALL OVERLAPPING GOVERNMENTS

(PER $1,000.00 OF ASSESSED VALUE)LAST TEN FISCAL YEARS

166

1997-98 1996-97 1995-96 1994-95 1993-94 1992-93

1.750 1.500 1.500 1.300 1.030 0.9372.979 2.979 2.979 2.979 2.979 2.7295.400 5.500 5.817 5.990 6.140 6.1403.390 3.390 3.390 3.390 3.390 3.3906.000 6.000 6.000 6.000 6.000 5.5005.445 5.445 5.490 5.490 5.490 5.5742.720 2.720 2.720 2.720 2.720 2.7204.500 4.500 4.500 4.500 4.500 4.5005.352 5.352 5.352 5.352 5.352 5.3523.500 3.970 4.190 4.500 4.750 5.0002.990 2.990 2.990 2.990 2.990 2.9906.181 6.181 6.181 6.450 6.450 6.4504.420 4.420 4.420 4.420 4.420 4.4205.514 5.514 5.514 5.387 5.387 5.387

FISCAL YEAR

167

FISCAL YEAR ENDED

SEPTEMBER 30

NET REVENUE AVAILABLE FOR DEBT SERVICE PRINCIPAL

INTEREST AND FISCAL CHARGES TOTAL

COVERAGE PERCENT

1993 $ 6,473,188 $ 2,450,000 $ 1,717,025 $ 4,167,025 155%

1994 7,370,616 2,720,000 1,629,118 4,349,118 169

1995 7,588,579 2,825,000 1,520,208 4,345,208 175

1996 8,703,783 2,940,000 1,397,584 4,337,584 201

1997 9,378,208 3,075,000 1,259,700 4,334,700 216

1998 10,069,134 3,215,000 1,107,042 4,332,042 232

1999 11,596,508 3,380,000 940,054 4,320,054 268

2000 12,650,989 3,550,000 760,257 4,310,257 293

2001 13,451,715 3,735,000 564,357 4,299,357 313

2002 14,311,889 3,940,000 350,832 4,290,832 334

SOURCE OF REVENUE - Infrastructure Sales Tax

LAKE COUNTY, FLORIDAREVENUE BOND COVERAGE


SALES TAX REVENUE REFUNDING BONDS, SERIES 1992 DEBT SERVICE RETIREMENT

168

2002 2001 2000 1999 1998 1997

Sales and Use Tax $ 14,135.9 $ 13,859.4 $ 13,646.3 $ 12,614.4 $ 11,828.7 $ 11,035.5

Source: State of Florida Department of Revenue - Research and Analysis

This information is provided in conncetion with the $ 4,400,000 Lake County, Florida, Sales Tax Revenue Bonds ( Pari-Mutuel Revenues Replacement Program) Series 2000.

TO SECTION 212.20 (6), FLORIDA STATUTES

($Millions)State fiscal years ended June 30

LAKE COUNTY, FLORIDASALES AND USE TAX REVENUES

REMAINING IN STATE GENERAL REVENUEFUND AFTER REQUIRED TRANSFERS PURSUANT

169

PERFISCAL CAPITA SCHOOLYEAR POPULATION (1) INCOME (2) ENROLLMENT (3) COUNTY NATIONAL

1992-93 167,167 $ 17,822 21,967 9.9% 7.4%1993-94 171,168 18,523 22,669 6.0 5.41994-95 176,931 19,459 24,500 7.1 5.61995-96 182,218 20,108 25,766 5.5 5.01996-97 188,331 20,778 26,740 4.8 4.71997-98 195,978 22,344 27,565 3.9 4.41998-99 203,845 22,667 28,301 3.2 4.11999-00 210,528 23,976 29,116 3.1 3.82000-01 220,323 ** 30,872 3.7 4.72001-02 231,072 ** 31,772 4.7 5.4

SOURCES:(1) Bureau of Economic Business Research, Gainesville.(2) Florida Statistical Abstract.(3) Lake County School Board.(4) Florida Department of Labor and Employment Security.** Statistics Not Yet Published.

UNEMPLOYMENT RATE (4)

LAKE COUNTY, FLORIDADEMOGRAPHIC STATISTICS


170

2001-02 2000-01 1999-00 1998-99 1997-98

COUNTY BULIDINGPERMITS $ 559,067,616 $ 524,458,823 $ 367,091,568 $ 384,280,843 $ 366,669,555

CITY BULIDINGPERMITS

Astatula * * * * *Clermont * * * * *Eustis 31,801,473 21,839,852 23,321,652 24,327,507 19,120,489Fruitland Park 4,187,659 3,841,884 3,746,334 4,361,278 2,790,825Groveland 19,371,404 17,374,147 3,501,449 (1) * *Howey-in-the-Hills * * * * *Lady Lake 41,779,301 46,968,610 39,913,041 38,675,526 36,739,789Leesburg 50,197,375 40,117,564 31,013,346 67,464,433 88,007,011Mascotte 7,760,059 (3) 7,675,870 6,719,008 3,121,055 1,961,903Minneola 27,631,969 18,543,794 11,695,167 (2) * *Montverde * * * * *Mount Dora 31,568,760 24,801,799 33,005,464 43,615,875 18,903,576Tavares 37,690,829 109,426,007 30,027,530 14,667,658 13,703,408Umatilla 6,499,805 3,103,988 2,034,151 1,832,703 944,552

Total Cities 258,488,634 293,693,515 184,977,142 198,066,035 182,171,553

TOTAL ALL COUNTY $ 817,556,250 $ 818,152,338 $ 552,068,710 $ 582,346,878 $ 548,841,108

SOURCE: Lake County Building Department and building departments of Eustis, Fruitland Park, Groveland, Lady Lake, Leesburg, Mascotte, Minneola, Mount Dora, Tavares, and Umatilla.

* Permits/Inspections included in County total.(1) Permits/Inspections included are from March-September, 2000. Inspections from October 1999 - February 2000 are included in County Total.(2) Permits/Inspections included are from July-September, 2000. Inspections from October 1999- June 2000 are included in County Total.(3) Permits/Inspections for November and December 2001 are included in County Total.

LAKE COUNTY, FLORIDALAKE COUNTY CONSTRUCTION


FISCAL YEAR

172

1996-97 1995-96 1994-95 1993-94 1992-93

$ 329,425,934 $ 278,771,813 $ 201,100,009 $ 168,216,578 $ 124,652,170

* * * * ** * * * *

21,172,264 15,746,863 18,654,366 17,313,880 13,812,1252,331,704 1,828,407 1,052,733 1,666,303 2,478,758* * * * ** * * * *

153,737,241 17,751,034 16,738,895 21,673,091 34,263,21240,515,712 27,549,929 13,777,328 23,374,024 19,980,8321,549,925 2,323,212 2,687,932 3,022,336 2,692,508* * * * ** * * * *

18,077,502 20,593,678 18,156,173 17,718,565 10,203,42612,134,986 25,392,701 8,313,065 16,725,475 6,713,3441,336,126 1,401,216 1,867,486 628,132 1,488,634

250,855,460 112,587,040 81,247,978 102,121,806 91,632,839

$ 580,281,394 $ 391,358,853 $ 282,347,987 $ 270,338,384 $ 216,285,009

FISCAL YEAR

173

FISCAL YEAR CONSTRUCTION (1) BANK DEPOSITS (2) PROPERTY VALUE (3)

1992-93 $ 216,285,009 $ 1,632,882,000 $ 5,966,589,314

1993-94 270,338,384 1,701,038,000 6,408,801,424

1994-95 282,347,987 1,735,416,000 6,844,231,409

1995-96 391,358,853 1,776,670,000 7,312,373,513

1996-97 580,281,394 2,032,242,000 7,733,419,615

1997-98 548,841,108 2,493,189,000 8,295,511,446

1998-99 582,346,878 2,564,050,000 8,833,316,730

1999-00 552,068,710 2,740,272,000 9,594,808,129

2000-01 818,152,338 3,018,316,000 10,558,098,414

2001-02 817,556,250 3,123,279,000 11,470,499,134

SOURCES:

(1) Construction- Lake County Building Department and building departments of Eustis,Fruitland Park, Groveland, Lady Lake, Leesburg, Mascotte, Minneola, Mount Dora,Tavares, and Umatilla.

(2) Bank Deposits (for the quarter ending September 30) - Florida Bankers' Association.(3) Property Value - Property Appraiser's Office.

PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITSLAST TEN FISCAL YEARS

LAKE COUNTY, FLORIDA

174

FISCAL YEAR

ASSESSMENTS OUTSTANDING

BEGINNING OF YEAR

ADDITIONAL ASSESSMENTS MADE DURING

YEAR

ASSESSMENTS COLLECTED

DURING YEAR

ASSESSMENTS OUTSTANDING

END OF YEAR

COLLECTIONS AS PERCENT OF

ASSESSMENTS OUTSTANDING DURING YEAR

1992-93 494,786 - 123,990 370,796 25.1%

1993-94 370,796 194,810 145,870 419,736 25.8

1994-95 419,736 - 208,575 211,161 49.7

1995-96 211,161 147,579 181,000 177,740 50.5

1996-97 177,740 332,129 150,786 359,083 29.9

1997-98 359,083 137,093 169,308 326,868 34.1

1998-99 326,868 296,605 231,233 392,240 37.1

1999-00 392,240 18,391 128,611 282,060 31.3

2000-01 282,060 372,354 334,302 320,112 51.1

2001-02 320,112 - 91,199 228,913 28.5

LAKE COUNTY, FLORIDA

LAST TEN FISCAL YEARSSPECIAL ASSESSMENT COLLECTIONS

175

DATE FOUNDED: 1887COUNTY SEAT: Tavares ESTABLISHED July 17, 1888FORM OF GOVERNMENT: Elected Board of Commissioners NUMBER OF COMMISSIONERS Five (5) TERM OF OFFICE Four (4) yearsLOCATION: Midway between the Gulf of Mexico and the Atlantic OceanAREA: 1,163 Square MilesSURROUNDING COUNTIES: Orange, Polk, Volusia, Seminole, Marion, SumterMUNICIPALITIES: Fourteen (14) CITIES/TOWNS Astatula, Clermont, Eustis, Fruitland Park, Groveland,

Howey-in-the-Hills,Lady Lake, Leesburg, Mascotte, Minneola,Montverde, Mount Dora, Tavares, Umatilla

ELECTIONS: (1)

NUMBER OF REGISTERED VOTERS 144,007 DEMOCRATIC 50,291 REPUBLICAN 69,522 NO AFFILIATION 19,001 OTHER PARTIES 5,193 MALE VOTERS 66,558 FEMALE VOTERS 77,449POPULATION: (2) 1940 27,255

1950 36,3401960 57,3831970 69,3051980 104,8701990 152,1041995 176,9312000 census 210,5282005 estimate 243,3662010 estimate 273,2782015 estimate 303,731

GROSS SALES (3)

(LAST 10 CALENDAR YEARS) 1993 2,227,516,1211994 2,564,020,5611995 2,721,637,6141996 2,915,414,0571997 3,068,449,5061998 3,272,486,8531999 3,703,612,0432000 4,014,379,6102001 4,175,950,2772002 4,266,871,590

SOURCES: (1) Lake County Supervisor of Elections. (2) Florida Statistical Abstract and Bureau of Economic Business Research, Gainesville. (3) Florida Department of Revenue, Division of Sales & Use Tax.

LAKE COUNTY, FLORIDAMISCELLANEOUS STATISTICAL DATA

LASEPTEMBER 30, 2002

176

FIRE PROTECTION: Lake County Municipal Taxing Unit for Fire Protection

CORRECTIONS: Current: Main Jail inmate capacity 969 Average daily inmate population 894

EDUCATION: (1)

TYPE OF SCHOOLS NUMBER Elementary 22 Middle School 9 Senior High Schools 7 Exceptional - Kindergarten through 12th grade 2 (Lake Hills)

(ESE Center) Charter - Kindergarten through 12th grade 1 (National Deaf Academy) Charter - Kindergarten through 8th grade 1 (Milestones Community) Charter - Senior High 1 (Alee Academy) Behavioral Center - 9th through 12th grade 1 (Two Campuses:

Lifestream - Altoona Lifestream - Leesburg)

Lee Opportunity Center - SR High and adults 1 Vocational (9th through 12th grade) 1 (Lake Technical High)

ADMINISTRATIVE PERSONNEL Instructional 1934 Noninstructional 1979 Administrative Staff 127

HIGHER EDUCATION (2)

(Total enrollment in accredited or licensed institutions by sex and attendance status in Lake County,Florida, Fall 2002.)

Lake-Sumter Community College Enrollment 2002 2001 2000 1999 Men (Full-Time) 388 325 326 302 Men (Part-Time) 643 606 581 521 Women (Full-Time) 597 540 524 538 Women (Part-Time) 1566 1,410 1,388 1,292 Total 3,194 2,881 2,819 2,653

SOURCES: (1) Lake County School Board (2) Lake Sumter Community College


L SEPTEMBER 30, 2002

177

MAJOR EMPLOYERS:

Company Name

Lake County Public Schools 3534Villages of Lake-Sumter, Inc. 1900Leesburg Regional Medical Center 1800Lake County Government Offices 1558Florida Hospital/Waterman, Inc. 1100Sprint 719Lester Coggins Trucking, Inc. 500Lake Port Square 400Dura-Stress, Inc. 384Cutrale Citrus Juice, Inc. 275

SOURCES: Metro Orlando Economic Development Commission - 2002

Lake County Government Offices (see below)

LAKE COUNTY EMPLOYEES:

Lake County Board of County Commissioners 681Lake County Clerk of the Circuit Court 186Lake County Property Appraiser 30Lake County Tax Collector 58Lake County Sheriff 572Lake County Supervisor of Elections 31Total 1558

SOURCE: Lake County Clerk's Office.Lake County Property Appraiser's Office.Lake County Tax Collector's Office.Lake County Sheriff's Office.

# Employees


September 30, 2002

# Employees

178

LAKE COUNTY, FLORIDASCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

AND STATE FINANCIAL ASSISTANCEFor the Year Ended September 30, 2002

Pass-Through /

CFDA / State Contract Amount of Transfer toGrantor/Pass-Through Grantor/Program Title CSFA Number Expenditures Subrecipients

U S Department of Agriculture:Indirect:

Florida Department of Agriculture and Consumer SvcsUrban and Community Forestry Grant 10.664 00-43 $ 8,608 $ -

Florida Department of Banking and FinanceFederal Forestry Shared Revenue 10.665 None 117,047 -

Total U S Department of Agriculture 125,655 -

U S Department of Housing and Urban Development: Direct:

Community Development Block Grant (B-01-UC-12-0015) 14.218 N/A 935,532 - Section 8 Housing (County Voucher FL 106 VO) 14.871 N/A 1,487,067 -

Total U S Department of Housing and Urban Development 2,422,599 -

U S Department of InteriorDirect:

Refuge Revenue Sharing 15.226 N/A 109 - Payments in Lieu of Taxes 15.226 N/A 73,981 -

Total U S Department of Interior 74,090 -

U S Department of JusticeDirect:

Local Law Enforcement Block Grant 00/02(2000-LB-BX-0040) 16.592 N/A 132,363 - Local Law Enforcement Block Grant 01/03(2001-LB-BX-3829) 16.592 N/A 161,089 -

Indirect:Florida Office of the Attorney General:

Victims of Crime Acts 16.575 V1008 22,760 - Florida Department of Law Enforcement:

Byrne Formula Grant - STAR III 16.579 02-CJ-2H-06-45-01-028 23,055 - Byrne Formual Grant - ACER III 16.579 02-CJ-2H-06-45-01-029 2,081 - Byrne Formula Grant - Middle School Resource Officer III 16.579 02-CJ-2H-06-45-01-030 34,149 - Byrne Formula Grant - Offender Based Tracking System (OBTS) 16.579 02-CJ-2H-06-45-01-033 36,388 - COPS MORE/Mobile Data Terminals 16.710 2001-CL-WX-0072 299,249 - COPS In School (FL03500) 16.710 2000-SH-WX-0558 125,000 -

Total Indirect 542,682 -

Total U S Department of Justice 836,134 -

U S Department of TransportationIndirect:

Florida Department of Transportation: Local Agency Program (CR 42 Paved Shoulders - 888-750-A) 20.205 AJ557 151,921 - Local Agency Program (CR 561 Paved Shoulders - 5753-003-S) 20.205 AK790 670,000 - 5311 Operating Grant 20.509 AK990 291,205 - Highway Safety Grant - Speed Enforcement Proj. FS-02-27-07 20.600 AL042 23,210 -

Total U S Department of Transportation 1,136,336 -

180



Pass-Through /


Bureau of Alcohol, Tobacco and FirearmsDirect:

G.R.E.A.T Grant 21.053 ATC000023 2,811 -

Total Bureau of Alcohol, Tobacco and Firearms 2,811 -

General Services AdministrationDirect:

Federal Surplus Property 39.003 N/A 23,508 -

Total General Services Administration 23,508 -

U S Department of EducationIndirect:

Florida Department of State Division of Library and Info ServicesBorn to Read 45.310 01-LSTA-E-10 95,768 -

Total U S Department of Education 95,768 -

Federal Emergency Management AgencyIndirect:

Florida Department of Community AffairsHazard Mitigation Grant (Tracy Canal) FEMA-1195-DR-FL 83.548 01-HM-3M-06-45-15-007 13,454 - Hazard Mitigation Grant (Green Swamp) FEMA-1195-DR-FL 83.548 00-HM-P4-06-45-15-025 8,970 - Emergency Management Performance Grant (State and Local) 83.552 02-CP-04-06-45-01-035 26,212 - Emergency Management Performance Grant (Terrorism Annex) 83.552 01-EO-01-06-45-01-016 1,007 -

Total Federal Emergency Management Agency 49,643 -

Department of Health and Human Services:Indirect:

Florida Department of Revenue: Child Support Enforcement 93.563 CC335 222,314 -

Total Department of Health and Human Services 222,314 -

Total Expenditures of Federal Awards $ 4,988,858 $ -

Continued

181



Pass-Through /


Executive Office of the Governor:Visit Florida 31.006 M-04083 $ 3,500 $ - Lake Apopka Area 31.029 01-066 738,806 -

Total Executive Office of the Governor 742,306 -

Florida Department of Environmental ProtectionPlayground Resurfacing 37.015 PG01-20 19,428 4,546 Waste Tire Grant 37.015 WT01-35 29,859 1,478 Florida Recrecation Development Assistance Program - Lk Idamere 37.017 F98041 100,000 - End of Life Electronics Management Grant 37.031 HW466 50,000 -

Total Florida Department of Environmental Protection 199,287 6,024

Florida Department of Agriculture and Consumer AffairsMosquito Control (Waste Tire and State Aid) 42.003 None 32,559 - Total Florida Department of Agriculture and Consumer Affairs 32,559 -

Florida Department of State Local Arts 45.005 02-8025 5,305 -

Florida Arts License Plates Program 45.013 None 12,108 - Literacy Grant (Adult Literacy) 45.025 02-FLL-03 25,000 - State Aid FY00 45.030 00-ST-16 8,948 - State Aid FY01 45.030 01-ST-25 63,324 - State Aid FY02 45.030 02-ST-25 189,626 - Voting Assistance Funds - Equipment N/A N/A 322,500 - Voting Assistance Funds - Pollworker recruitment and training N/A N/A 89,064 -

Total Florida Department of State 715,875 -

Florida Department of EducationVSA Arts of Florida 48.000 PO 115866 1,000 - VSA Arts of Florida 48.000 None 2,000 - Total Florida Department of Education 3,000 -

Florida Department of Community AffairsEmergency Management Preparedness 52.008 02-CP-04-06-45-01-035 102,974 - and Assistance Grant Program

Hazard Mitigation Grant (Tracy Canal) FEMA-1195-DR-FL N/A 01-HM-3M-06-45-15-007 2,156 - Hazard Mitigation Grant (Green Swamp) FEMA-1195-DR-FL N/A 00-HM-P4-06-45-15-025 1,437 -

Total Florida Department of Community Affairs 106,567 -

182



Pass-Through /


Florida Housing Finance CorporationAffordable Housing (SHIP) 52.901 None 2,393,225 - Total Florida Housing Finance Corporation 2,393,225 -

Florida Department of TransportationCommission for the Transportation Disadvantaged 55.001 AK-330 187,210 -

Trip and Equipment GrantCommission for the Transportation Disadvantaged 55.001 AL-971 1,135 -

Trip and Equipment GrantCommission for the Transportation Disadvantaged 55.002 AK-318 19,923 -

Planning GrantCounty Incentive Grant Program - FM 410374 CR-44 55.008 AJ-759 169,823 - County Incentive Grant Program - FM 410372 CR-470 55.008 AJ-761 96,250 -

Total Florida Department of Transportation 474,341 -

Florida Department of HealthEMS Matching Grant 64.003 M2079 29,492 - County Grant 64.005 C1035 73,664 -

Total Florida Department of Health 103,156 -

Total Expenditures of State Financial Assistance $ 4,770,316 $ 6,024

183

LAKE COUNTY FLORIDA · All Nonmajor Funds 104 Major Funds: ... charged within the county limited to...

Documents

Transcript of LAKE COUNTY FLORIDA · All Nonmajor Funds 104 Major Funds: ... charged within the county limited to...